NA Snowstorms Have a Significant Effect on Gambling Revenue, Analysts Say

According to recent analyses by Jefferies Equity Research and J.P. Morgan, the harsh weather that much of North America has recently experienced has had a measurable effect on the revenue and visitation numbers of traditional land-based casinos.

Jefferies Equity Research’s Analysts Project Lower Revenues

Jefferies Equity Research analyst David Katz attributed recent performance to adverse weather conditions. He noted that heightened competition continues to pose the primary risk for land-based operators, warning that the recent snowstorms could lead to downward revisions of first-quarter 2026 Street estimates. 

Katz noted that 12 states were under federal emergency declarations in January as the snowstorms raged. This includes seven with casino operations: Indiana, Kentucky, Louisiana, Maryland, Mississippi, Virginia, and West Virginia. Based on the assumption that 40% of gambling activity takes place on weekends, he estimated that visitation levels at 65% of normal would result in a 3.1% decline in revenue.

Katz went on to say that regions experiencing the most severe weather may have seen casino foot traffic fall to just 35% of typical levels, implying a 5.7% revenue drop. For comparison, Katz pointed out that New York, despite not being under an emergency declaration, recorded only a one percent increase at its video gaming properties.

Despite this outlook, he maintained a favorable view of Boyd Gaming, Churchill Downs, and Station Casinos’ operations, citing strong management teams and near-term catalysts supporting those companies.

However, Katz also noted that not only does the weather affect traditional land-based casinos, but iGaming is likely to steal some players away. He claimed that iGaming is likely to be implemented in Virginia and Maine in the next few months, a claim supported by the fact that lawmakers in Virginia have recently pushed forward with Senate Bill 118, which aims to legalize online casino gaming.

J.P. Morgan Expects Slightly Higher Revenue Despite Visitor Decline

J.P. Morgan analyst Daniel Politzer also commented on the effects that the recent inclement weather has had on brick-and-mortar casinos’ visitor numbers. According to him, visitation was down by 5.4% in January, but interestingly, he expects winnings to grow by 2%.

According to Politzer, this small rise in revenue is a lot better than what was anticipated, factoring in the bad weather. He also noted that January 2026 included an extra weekend day and followed a “fairly challenging” January 25, resulting in a flat year-over-year comparison on an even basis.

If you’re further interested in reading what J.P. Morgan’s experts say about the gambling industry, then we suggest you look at this analysis about Flutter Entertainment’s ongoing expansion in the prediction markets scene.