Bally’s (NYSE:BALY) Shares Gap Down After Earnings Miss

Bally’s Corporation (NYSE:BALY) gapped down before the market opened on Tuesday following a weaker than expected earnings announcement. The stock had previously closed at $11.80, but opened at $11.20. Bally’s shares last traded at $10.4390, with a volume of 11,208 shares.

The company reported ($2.69) earnings per share for the quarter, missing analysts’ consensus estimates of ($1.00) by ($1.69). The firm had revenue of $755.72 million during the quarter, compared to analyst estimates of $769.69 million. Bally’s had a negative net margin of 26.39% and a negative return on equity of 63.15%.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on BALY. Truist Financial decreased their target price on Bally’s from $18.00 to $13.00 and set a “hold” rating for the company in a report on Friday, March 27th. Wall Street Zen lowered shares of Bally’s from a “hold” rating to a “sell” rating in a report on Saturday, April 18th. Stifel Nicolaus reduced their price target on shares of Bally’s from $18.00 to $12.00 and set a “hold” rating on the stock in a research report on Monday, March 30th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Bally’s in a research note on Friday, April 24th. Three equities research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and a consensus price target of $13.25.

Institutional Investors Weigh In On Bally’s

Several institutional investors and hedge funds have recently modified their holdings of BALY. Geode Capital Management LLC raised its holdings in shares of Bally’s by 113.1% during the 2nd quarter. Geode Capital Management LLC now owns 164,555 shares of the company’s stock valued at $1,577,000 after buying an additional 87,346 shares during the period. JPMorgan Chase & Co. purchased a new position in Bally’s in the 2nd quarter worth approximately $33,000. New York State Common Retirement Fund purchased a new position in Bally’s in the 2nd quarter worth approximately $97,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new stake in Bally’s in the second quarter valued at approximately $38,000. Finally, Bank of America Corp DE grew its position in Bally’s by 2,087.9% in the second quarter. Bank of America Corp DE now owns 7,942 shares of the company’s stock valued at $76,000 after acquiring an additional 7,579 shares in the last quarter. Hedge funds and other institutional investors own 70.41% of the company’s stock.

Bally’s Price Performance

The company has a market cap of $521.52 million, a PE ratio of -1.96 and a beta of 1.80. The business’s 50 day moving average price is $11.85 and its 200-day moving average price is $14.67. The company has a quick ratio of 0.77, a current ratio of 0.80 and a debt-to-equity ratio of 1.75.

Bally’s Company Profile

Bally’s Corporation is an integrated entertainment company engaged in the ownership, development and operation of land‐based casinos, sports betting venues and online gaming platforms. The company leverages the iconic Bally’s brand under a long‐term license to provide gaming and hospitality services across multiple channels, including retail casinos, mobile sports wagering and interactive casino games.

The company’s portfolio spans gaming properties in key U.S. jurisdictions such as Rhode Island, Colorado, New Jersey, Mississippi, Iowa, Indiana, Pennsylvania and Nevada.