Shares of Bally Technologies Inc. soared Tuesday after the casino equipment maker lifted the low end of its profit forecast range for fiscal 2008.
The stock climbed $4.75, or 12.9 percent, to $41.55. Shares have traded in a 52-week range of $22.87 to $52.83.
The Las Vegas-based company said late Monday it now expects full-year net income between $1.78 and $1.90 per share, up from its prior outlook of $1.60 to $1.90 per share.
On an adjusted basis, Bally anticipates a profit of $1.93 to $2.05 per share, compared with an earlier estimate for $1.75 to $2.05 per share.
The company also boosted its 2008 sales forecast and provided a 2009 profit outlook between $2.10 and $2.50 per share.
Analysts polled by Thomson Financial predict earnings of $1.79 per share for the fiscal year ending this June. Analyst estimates typically exclude one-time items.
Bally also reported on Monday that its fiscal third-quarter profit more than quadrupled as gaming equipment and systems and gaming operations revenue climbed.
"We believe Bally's strong third-quarter results and 2009 guidance demonstrates the company's ability to operate in a challenging market, strong gaming operations momentum and leading systems business," Todd Eilers of Roth Capital Partners LLC wrote in a client note.
The analyst maintained a "Buy" rating and $60 price target.
Goldman Sachs analyst Steven Kent called the quarterly results solid and raised his share price target to $42 from $40.
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