The SkyCity Entertainment Group Limited (ASX: SKC) share price is one to watch ahead of today's 2019 Investor Day.
What's the focus for SkyCity in FY20?
Ahead of today's event, SkyCity released its presentation to the ASX this morning. The company's Adelaide expansion update is sure to attract some attention from investors.
SkyCity's belief in the South Australian economy despite a broader Australian slowdown is underpinned by major infrastructure projects.
The SkyCity share price has been up and down throughout 2019, as concerns surrounding economic growth have increased.
Large defence contracts have boosted construction activity in the state, which SkyCity expects to support the economy over the medium-term. Tourism expenditure and population growth are other key tailwinds for the southern state.
However, SkyCity's earnings from the Adelaide Casino has been flat over the last 5 to 10 years. The company's attraction to the site is its long-term potential if "structural issues" are addressed and a "level playing field" can be delivered.
SkyCity also provided an update on its New Zealand International Convention Centre (NZICC), which was hit by a fire last month. On 22 October, the SkyCity share price fellow lower after a fire broke out on the roof of the site, which put a halt to the momentum of the NZICC project.
Financially, SkyCity paid out $136 million to shareholders in FY19 which translates to a 5.23% dividend yield at its $3.57 valuation.
How has the SkyCity share price performed in 2019?
The SkyCity share price has had a volatile year in 2019, climbing 10.53% year-to-date to close yesterday's trade at $3.57 per share.
That's a fair underperformance relative to the 19.84% delivered by the S&P/ASX 200 Index (INDEXASX: XJO) so far this year.
However, SkyCity shares have outperformed fellow wagering group Crown Resorts Ltd (ASX: CWN), which remains under pressure.
Foolish takeaway
The SkyCity share price will be one to watch this morning ahead of the company's 2019 Investor Day.
It's been a volatile year for the group, but there's plenty of time left in the year for a share price turnaround in 2019.
