Boyd Gaming price target lowered to $78 from $83 at Stifel

Stifel lowered the firm’s price target on Boyd Gaming to $78 from $83 and keeps a Buy rating on the shares. While saying that Boyd’s Q3 report “will probably cause near-term pressure not only for BYD shares, but probably for other regional gaming operators,” the firm believes “this could actually be a clearing event” as estimates should move lower and expectations “will finally get reset.” The firm has moved its own estimates down to embed not only a slightly softer top-line environment but also higher operating expenses moving forward, but still believes Boyd’s strong free cash flow “remains significantly undervalued,” the analyst tells investors.