UPDATE: FBR Capital Markets Initiates Coverage on Boyd Gaming on Mixed Factors

In a report published Wednesday, FBR Capital Markets analyst Jake Fuller initiated coverage on Boyd Gaming BYD with a Market Perform rating and $10.40 price target. In the report, FBR Capital Markets noted, “We are initiating coverage of Boyd Gaming Corporation (BYD) with a Market Perform rating and a $10.40 price target. Key themes include the following: (1) Boyd Gaming is heavily weighted to the saturated U.S. regional gaming markets, (2) we see sparse external growth opportunities without a visible project pipeline, and (3) while online gaming is an appealing prospect, it appears to be fairly reflected in the stock. In short, we would prefer to focus on the Macau-centric gaming operators with better growth prospects.” Boyd Gaming closed on Tuesday at $10.11.