Analyst lowers rating

Monday, Jan. 27, 2003 | 11:03 a.m.

Jefferies & Co. analyst Lawrence Klatzkin has lowered his rating on shares of Boyd Gaming Corp. to "hold" from "buy" on the basis that the stock has become fully valued.

Klatzkin also lowered 2003 earnings per share estimates to $1.13 from $1.17 per share and cash flow estimates to $291 million from $297 million to account for a weaker economy than expected.

"We believe Boyd becomes more attractive once the Borgata, opening in summer 2003, completes its initial ramp-up and can become Atlantic City's premier property by generating higher margins and cash flow than its Atlantic City competitors," Klatzkin wrote in a report.

archive