Boyd Gaming Lifts Dividend For Second Straight Year
This was posted on February 29, 2024 at 1:35am.
Last updated on: February 29, 2024, 01:48h.
Boyd Gaming (NYSE: BYD) declared on Thursday that it will be raising its quarterly dividend by 6.3%, from 16 cents per share to 17 cents per share.
The Fremont Hotel and Casino, owned by Boyd Gaming, is located in downtown Las Vegas. The company announced a 6.3% increase in their quarterly dividend. (Image credit: Vegas Means Business)
The increase in payout indicates a projected dividend yield of 1.06%, which is higher than the current level of 0.99%, based on the current stock price. Boyd’s stock saw a rise of approximately 1.50% during midday trading following this announcement. So far this year, the gaming company’s stock has increased by 3.66%.
According to a statement from the regional casino operator based in Las Vegas, the dividend will be paid on April 15, 2024 to shareholders who are recorded as of the close of business on March 15, 2024.
By the conclusion of 2024, Boyd Gaming had a cash balance of $304.3 million, suggesting that it has the necessary financial means to provide shareholder dividends. As of the end of the previous year, the company had a total debt of $2.9 billion.
Boyd Continues to Increase Dividend Payments in a Positive Trend.
Boyd resumed its quarterly dividend payments approximately two years ago, after halting them as a cost-cutting measure during the height of the COVID-19 crisis.
After being reinstated, the Orleans operator has increased its dividend twice, with a 6.66% increase in February 2023 and another increase announced today. This could indicate that the gaming company has the potential to be a reliable stock for dividend growth.
Boyd has demonstrated a dedication to providing benefits to its shareholders through various means. During the last quarter, Boyd bought back $100 million worth of its common stock, resulting in a remaining balance of $326 million from a previously disclosed buyback program.
Boyd operates 10 gaming locations in its primary market, which include Aliante, California, Cannery, Fremont, Gold Coast, Jokers Wild, Main Street Station, Sam’s Town, Suncoast, and The Orleans. It also manages casinos in various regions in Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Ohio, and Pennsylvania.
Additional Positive Dividend Updates in Gaming Sector
Boyd’s recent announcement of a dividend increase on Thursday is just one example of the positive payout updates coming from the gaming sector. Another notable player, Gaming and Leisure Properties (NASDAQ: GLPI), revealed earlier this week that it will be increasing its quarterly dividend from 73 cents to 76 cents per share, continuing its impressive track record of consistent dividend growth.
On February 7, Red Rock Resorts (NASDAQ: RRR) declared a one-time payout of $1 per share, marking its third special dividend since November 2021. This is on top of the company’s standard quarterly dividend.
Out of the land-based casino companies that are listed on the stock market, there are four that do not currently distribute quarterly cash dividends. These include Caesars Entertainment, Century Casinos, Golden Entertainment, and Penn Entertainment.
