BYD - Boyd Gaming: Differentiated Offering Compounding Investor Equity At Above Market Rates
2024-02-05 00:31:21 ET
Summary
- The global risk appetite is recovering, creating the potential for adding beta back into equity portfolios.
- The consumer discretionary sector came in with strong Q4 2023 earnings growth, providing scope for top down security selection.
- Boyd Gaming Corp. is a high-quality name in the consumer discretionary sector that offers a compelling risk-reward opportunity.
Investment briefing
With the global risk appetite now showing signs of imminent recovery based on recent market trends, there is potential scope to add beta back into equity portfolios in our estimation. The consumer discretionary sector has led the way along with communications services and utilities so far in Q4 2023 earnings growth for the S&P 500 index. It has posted a 22% YoY growth in earnings from Q4 2022, as reported by FactSet analysis (Figure 1). For those investors with a more aggressive risk profile, tactical allocation to high-quality names within this domain may present a compelling risk reward calculus....
Boyd Gaming: Differentiated Offering Compounding Investor Equity At Above Market Rates