What Happened:Shares of casino, tavern, and slot machine operator Golden Entertainment (NASDAQ:GDEN) fell 9.7% in the morning session after the company reported fourth-quarter results with revenue and EPS missing analysts' expectations. In addition, its Nevada revenue unfortunately missed, and its operating margin fell short of Wall Street's estimates. The company did not provide financial guidance. Overall, this was a mediocre quarter for Golden Entertainment.
The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Golden Entertainment? Find out by reading the original article on StockStory.
What is the market telling us:Golden Entertainment's shares are somewhat volatile and over the last year have had 8 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful but not something that would fundamentally change its perception of the business.
Golden Entertainment is down 15.3% since the beginning of the year, and at $33.95 per share it is trading 25.9% below its 52-week high of $45.83 from June 2023. Investors who bought $1,000 worth of Golden Entertainment's shares 5 years ago would now be looking at an investment worth $1,900.
