MGM Resorts International (NYSE:MGM) Stock Has Average Price Target of $53.25

MGM Resorts International (NYSE:MGM) has been assigned a consensus recommendation of “Moderate Buy” from the twenty-three brokerages that are presently covering the firm, Marketbeat.com reports. Two research analysts have rated the stock with a sell recommendation, nine have given a hold recommendation, ten have given a buy recommendation and two have issued a strong buy recommendation on the company. The average 12-month target price among brokers that have issued a report on the stock in the last year is $52.24.

A number of equities research analysts recently weighed in on MGM shares. Stifel Nicolaus reiterated a “hold” rating and set a $49.00 price objective (up from $48.00) on shares of MGM Resorts International in a report on Monday, June 15th. Bank of America started coverage on shares of MGM Resorts International in a research note on Thursday. They set a “neutral” rating and a $40.00 price target for the company. Mizuho dropped their price objective on MGM Resorts International from $60.00 to $55.00 and set an “outperform” rating on the stock in a research note on Thursday. The Goldman Sachs Group restated a “sell” rating and set a $43.00 price objective on shares of MGM Resorts International in a report on Wednesday, July 15th. Finally, JPMorgan Chase & Co. upped their target price on MGM Resorts International from $46.00 to $53.00 and gave the stock an “overweight” rating in a report on Friday, June 12th.

MGM Resorts International Price Performance

Shares of MGM stock opened at $33.69 on Friday. The stock has a 50 day moving average price of $42.62 and a 200 day moving average price of $41.80. MGM Resorts International has a 52-week low of $29.18 and a 52-week high of $51.59. The company has a debt-to-equity ratio of 1.80, a quick ratio of 1.30 and a current ratio of 1.34. The firm has a market capitalization of $8.47 billion, a P/E ratio of 20.42, a P/E/G ratio of 1.99 and a beta of 1.28.

MGM Resorts International (NYSE:MGM) last released its earnings results on Wednesday, July 29th. The company reported $0.59 earnings per share for the quarter, topping analysts’ consensus estimates of $0.56 by $0.03. The business had revenue of $4.45 billion for the quarter, compared to analyst estimates of $4.42 billion. MGM Resorts International had a return on equity of 23.30% and a net margin of 2.40%.The business’s revenue was up 2.2% compared to the same quarter last year. During the same quarter last year, the firm posted $0.79 earnings per share. As a group, sell-side analysts predict that MGM Resorts International will post 1.96 earnings per share for the current year.

More MGM Resorts International News

Here are the key news stories impacting MGM Resorts International this week:

• Positive Sentiment: MGM’s board reaffirmed its plan to operate as an independent company and continue executing its casino, hotel, Macau and digital-betting strategy. Recent operating commentary has pointed to momentum at BetMGM and MGM China, while share repurchases could provide some support. MGM standalone strategy announcement
• Positive Sentiment: Analyst views remain generally constructive on MGM’s underlying value: Capital One raised its target to $57, while Susquehanna maintained a positive rating despite lowering its target to $46. The reported median target among tracked analysts is $49. MGM analyst target changes
• Neutral Sentiment: Reports indicate MGM is considering making a bid for People Inc., reversing the companies’ recent deal dynamic. Any transaction remains uncertain and may create strategic or financial risks, so investors are likely to focus on whether MGM proceeds and how it would be funded. MGM discusses bid for People Inc.
• Negative Sentiment: The withdrawal of People Inc.’s approximately $18 billion buyout proposal eliminated the immediate possibility of MGM shareholders receiving $48.30 per share in cash. The market is therefore revaluing MGM based on its standalone earnings outlook rather than a potential acquisition premium. People Inc. withdraws MGM takeover offer
• Negative Sentiment: The failed deal adds uncertainty after months of takeover speculation and shifts attention to MGM’s relatively modest underlying growth. Although the company recently exceeded quarterly earnings and revenue estimates, year-over-year earnings declined, leaving investors more sensitive to casino, hotel and betting performance without a buyout catalyst. MGM stock falls on failed deal

Institutional Investors Weigh In On MGM Resorts International

Several large investors have recently modified their holdings of the business. Norges Bank purchased a new stake in MGM Resorts International during the 4th quarter valued at about $82,348,000. Man Group plc acquired a new stake in shares of MGM Resorts International during the second quarter worth about $25,771,000. Connor Clark & Lunn Investment Management Ltd. purchased a new stake in MGM Resorts International in the second quarter valued at approximately $22,681,000. Clough Capital Partners L P acquired a new position in MGM Resorts International in the 1st quarter worth approximately $15,857,000. Finally, Legal & General Group Plc acquired a new position in MGM Resorts International in the 2nd quarter worth approximately $16,570,000. Institutional investors own 68.11% of the company’s stock.

About MGM Resorts International

MGM Resorts International is a global hospitality and entertainment company that owns and operates destination resorts, casinos, hotels, restaurants, convention facilities and live-entertainment venues. Its properties offer casino gaming, hotel accommodations, dining, nightlife, retail, spa services, sporting events and other leisure activities.

The company operates a portfolio of resorts in Las Vegas and other U.S. markets, including properties associated with brands such as MGM Grand, Bellagio, ARIA, Mandalay Bay, Park MGM, New York-New York and MGM National Harbor.