Bally's Corporation Common Stock (BALY)

A number of stocks jumped in the afternoon session after key inflation data (PCE) aligned with forecasts, bolstering hopes for continued interest rate cuts from the Federal Reserve. 

Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges. However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) jumped 2.8% in the afternoon session after the stock extended its positive momentum as the company announced a transaction agreement with Intralot S.A. Under the agreement, Intralot was set to acquire Bally's International Interactive business by the fourth quarter of 2025, which would make Bally's the majority shareholder of Intralot.

Looking back on casino operator stocks’ Q2 earnings, we examine this quarter’s best and worst performers, including Bally's (NYSE:BALY) and its peers.

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) jumped 4.9% in the afternoon session after Greek gambling company Intralot secured €660 million ($776 million) in financing to help fund its acquisition of Bally's Interactive International division. 

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) jumped 5.6% in the afternoon session after the company announced it secured approval from lenders for the sale and leaseback of its Twin River Lincoln Casino Resort. 

Small-cap stocks in the Russell 2000 (^RUT) can be a goldmine for investors looking beyond the usual large-cap names. But with less stability and fewer resources than their bigger counterparts, these companies face steeper challenges in scaling their businesses.

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) fell 0.9% in the morning session after the company announced amendments to its credit facility and secured lender consent for the sale and leaseback of its Twin River Lincoln Casino Resort. 

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) jumped 4.2% in the morning session after the stock rebounded from a recent sell-off, aided by positive commentary from its CEO regarding potential acquisitions. The recovery follows a 7.6% drop the previous week that was driven by broader economic concerns. 

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) jumped 15% in the morning session after it rebounded from a significant sell-off the previous week that was driven by broader economic concerns. 

A number of stocks fell in the afternoon session after a surprisingly weak August jobs report fueled concerns of a cooling economy but also raised expectations for Federal Reserve interest rate cuts. 

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) fell 6.9% in the morning session after an analyst at Stifel lowered their price target on the stock, while another firm downgraded their rating. Stifel maintained its "Hold" rating but cut its price target from $12.00 to $10.00, representing a 16.67% decrease. This followed a recent downgrade from Wall Street Zen, which lowered its rating from "hold" to "sell". The negative analyst sentiment comes even as Bally's reported second-quarter revenue of $657.5 million that beat estimates. However, the top-line growth was overshadowed by a substantial loss for the quarter and a "weak performance" financial health score noted by InvestingPro. Adding to investor concerns, the company opted to skip its quarterly earnings call for the third straight time, limiting transparency into its results.

Running at a loss can be a red flag. Many of these businesses face mounting challenges as competition increases and funding becomes harder to secure.

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) jumped 4.3% in the morning session after the company revealed a new front-of-shirt sponsorship deal with English Premier League club Nottingham Forest. The company's logo will feature on the men's first-team shirts for the 2025/26 season. This partnership marked a significant step for Bally's expansion into the UK market, as Nottingham Forest prepared to compete in its fourth consecutive Premier League campaign. Crucially, the club also qualified for European competition for the first time in three decades, which offered Bally's a major platform to increase its brand profile across Europe.

Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential. However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.

A number of stocks fell in the afternoon session after the latest U.S. consumer confidence report revealed underlying weakness despite a headline increase, raising concerns about future spending. 

Companies that burn cash at a rapid pace can run into serious trouble if they fail to secure funding. Without a clear path to profitability, these businesses risk dilution, mounting debt, or even bankruptcy.

Shares of gaming, betting and entertainment company Bally's Corporation (NYSE:BALY) fell 4.8% in the afternoon session after its bid for a New York casino license was all but ended after the New York City Council rejected the company's land-use rezoning proposal for its planned $4 billion Bronx casino. 

Many small-cap stocks have limited Wall Street coverage, giving savvy investors the chance to act before everyone else catches on. But the flip side is that these businesses have increased downside risk because they lack the scale and staying power of their larger competitors.

Unprofitable companies can burn through cash quickly, leaving investors exposed if they fail to turn things around. Without a clear path to profitability, these businesses risk running out of capital or relying on dilutive fundraising.

Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential. However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.

Consumer discretionary businesses are levered to the highs and lows of economic cycles. Over the past six months, it seems like demand trends are working against their favor as the industry has tumbled by 11.9%. This performance was seriously disappointing since the S&P 500 held steady.