Is MGM Resorts Stock a Good Investment?
MGM Resorts Investment Advice | MGM |
- Examine MGM Resorts' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research MGM Resorts' leadership team and their track record. Good management can help MGM Resorts navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Hotels, Restaurants & Leisure space and any emerging trends that could impact MGM Resorts' business and its evolving consumer preferences.
- Compare MGM Resorts' performance and market position to its competitors. Analyze how MGM Resorts is positioned in terms of product offerings, innovation, and market share.
- Check if MGM Resorts pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about MGM Resorts' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in MGM Resorts International stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if MGM Resorts International is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine MGM Resorts Stock
Researching MGM Resorts' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 23.0% of the company outstanding shares are owned by corporate insiders. The book value of MGM Resorts was now reported as 10.89. The company has Price/Earnings To Growth (PEG) ratio of 1.64. MGM Resorts International last dividend was issued on the 8th of December 2022. The entity had 2:1 split on the 19th of May 2005.
To determine if MGM Resorts is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding MGM Resorts' research are outlined below:
| MGM Resorts is unlikely to experience financial distress in the next 2 years | |
| About 70.0% of the company shares are owned by institutional investors | |
| Latest headline from finance.yahoo.com: Las Vegas Rio Hotel Casino joins Destination by Hyatt |
MGM Resorts Quarterly Cost Of Revenue |
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MGM Resorts uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in MGM Resorts International. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to MGM Resorts' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 13th of February 2024 Upcoming Quarterly Report | View | |
| 6th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 13th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact MGM Resorts' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises MGM Resorts' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
1999-02-04 | 1998-12-31 | 0.09 | 0.1 | 0.01 | 11 | ||
1998-07-24 | 1998-06-30 | 0.07 | 0.06 | -0.01 | 14 | ||
1996-07-22 | 1996-06-30 | 0.09 | 0.1 | 0.01 | 11 | ||
2012-02-22 | 2011-12-31 | -0.19 | -0.21 | -0.02 | 10 | ||
2000-01-20 | 1999-12-31 | 0.16 | 0.18 | 0.02 | 12 | ||
1999-04-22 | 1999-03-31 | 0.09 | 0.11 | 0.02 | 22 | ||
1997-10-22 | 1997-09-30 | 0.14 | 0.16 | 0.02 | 14 | ||
1996-10-22 | 1996-09-30 | 0.1 | 0.12 | 0.02 | 20 |
Know MGM Resorts' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as MGM Resorts is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading MGM Resorts International backward and forwards among themselves. MGM Resorts' institutional investor refers to the entity that pools money to purchase MGM Resorts' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Bank Of America Corp | 2024-06-30 | 3.9 M | Goldentree Asset Management Lp | 2024-09-30 | 3 M | Lsv Asset Management | 2024-09-30 | 2.8 M | Norges Bank | 2024-06-30 | 2.8 M | Hg Vora Capital Management Llc | 2024-09-30 | 2.5 M | Dimensional Fund Advisors, Inc. | 2024-09-30 | 2.4 M | Ubs Asset Mgmt Americas Inc | 2024-09-30 | 2.3 M | Goldman Sachs Group Inc | 2024-06-30 | 2.3 M | Charles Schwab Investment Management Inc | 2024-09-30 | 2.2 M | Vanguard Group Inc | 2024-09-30 | 27.2 M | Blackrock Inc | 2024-06-30 | 21.6 M |
MGM Resorts' market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 11.25 B.Market Cap |
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MGM Resorts' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.03 | 0.03 | |
| Return On Capital Employed | 0.05 | 0.05 | |
| Return On Assets | 0.03 | 0.03 | |
| Return On Equity | 0.30 | 0.31 |
Determining MGM Resorts' profitability involves analyzing its financial statements and using various financial metrics to determine if MGM Resorts is a good buy. For example, gross profit margin measures MGM Resorts' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of MGM Resorts' profitability and make more informed investment decisions.
MGM Resorts' Earnings Breakdown by Geography
Evaluate MGM Resorts' management efficiency
MGM Resorts International has Return on Asset of 0.0254 % which means that on every $100 spent on assets, it made $0.0254 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.2901 %, implying that it generated $0.2901 on every 100 dollars invested. MGM Resorts' management efficiency ratios could be used to measure how well MGM Resorts manages its routine affairs as well as how well it operates its assets and liabilities. As of the 24th of November 2024, Return On Tangible Assets is likely to grow to 0.03. Also, Return On Capital Employed is likely to grow to 0.05. At this time, MGM Resorts' Other Assets are very stable compared to the past year. As of the 24th of November 2024, Net Tangible Assets is likely to grow to about 36.4 B, while Debt To Assets are likely to drop 0.14.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 12.31 | 8.85 | |
| Tangible Book Value Per Share | (7.11) | (6.75) | |
| Enterprise Value Over EBITDA | 18.58 | 10.17 | |
| Price Book Value Ratio | 4.16 | 4.37 | |
| Enterprise Value Multiple | 18.58 | 10.17 | |
| Price Fair Value | 4.16 | 4.37 | |
| Enterprise Value | 20.1 B | 21.1 B |
At MGM Resorts International, effective management practices are pivotal to sustaining long-term profitability. We delve into financial metrics and market conditions to provide a comprehensive analysis of the stock's prospects.
Beta 2.241 |
Basic technical analysis of MGM Stock
As of the 24th of November, MGM Resorts secures the mean deviation of 1.49, and Risk Adjusted Performance of 0.0015. In respect to fundamental indicators, the technical analysis model lets you check practical technical drivers of MGM Resorts International, as well as the relationship between them. Please verify MGM Resorts International information ratio and skewness to decide if MGM Resorts International is priced more or less accurately, providing market reflects its recent price of 37.8 per share. Given that MGM Resorts International has information ratio of (0.07), we recommend you to check MGM Resorts's last-minute market performance to make sure the company can sustain itself at some point in the future.MGM Resorts' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific MGM Resorts insiders, such as employees or executives, is commonly permitted as long as it does not rely on MGM Resorts' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases MGM Resorts insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Jonathan Halkyard over a month ago Acquisition by Jonathan Halkyard of 6928 shares of MGM Resorts subject to Rule 16b-3 | ||
William Hornbuckle over three months ago Disposition of 38213 shares by William Hornbuckle of MGM Resorts subject to Rule 16b-3 | ||
Paul Salem over three months ago Acquisition by Paul Salem of 2193 shares of MGM Resorts subject to Rule 16b-3 | ||
Mckinney-james Rose over six months ago Acquisition by Mckinney-james Rose of tradable shares of MGM Resorts subject to Rule 16b-3 |
MGM Resorts' Outstanding Corporate Bonds
MGM Resorts issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. MGM Resorts International uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most MGM bonds can be classified according to their maturity, which is the date when MGM Resorts International has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MCBRAC 725 30 JUN 31 Corp BondUS55292WAA80 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| MGM RESORTS INTL Corp BondUS552953CH22 | View | |
| MGM RESORTS INTL Corp BondUS552953CF65 | View |
Understand MGM Resorts' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing MGM Resorts' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0015 | |||
| Market Risk Adjusted Performance | (0.01) | |||
| Mean Deviation | 1.49 | |||
| Coefficient Of Variation | (15,545) | |||
| Standard Deviation | 2.15 | |||
| Variance | 4.61 | |||
| Information Ratio | (0.07) | |||
| Jensen Alpha | (0.18) | |||
| Total Risk Alpha | (0.36) | |||
| Treynor Ratio | (0.02) | |||
| Maximum Drawdown | 14.38 | |||
| Value At Risk | (2.60) | |||
| Potential Upside | 3.31 | |||
| Skewness | (1.96) | |||
| Kurtosis | 9.24 |
| Risk Adjusted Performance | 0.0015 | |||
| Market Risk Adjusted Performance | (0.01) | |||
| Mean Deviation | 1.49 | |||
| Coefficient Of Variation | (15,545) | |||
| Standard Deviation | 2.15 | |||
| Variance | 4.61 | |||
| Information Ratio | (0.07) | |||
| Jensen Alpha | (0.18) | |||
| Total Risk Alpha | (0.36) | |||
| Treynor Ratio | (0.02) | |||
| Maximum Drawdown | 14.38 | |||
| Value At Risk | (2.60) | |||
| Potential Upside | 3.31 | |||
| Skewness | (1.96) | |||
| Kurtosis | 9.24 |
Consider MGM Resorts' intraday indicators
MGM Resorts intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of MGM Resorts stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
MGM Resorts Corporate Filings
13A | 12th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
8K | 30th of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 8th of October 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 5th of September 2024 Prospectus used primarily for registering securities for public sale. | ViewVerify |
MGM Stock media impact
Far too much social signal, news, headlines, and media speculation about MGM Resorts that are available to investors today. That information is available publicly through MGM media outlets and privately through word of mouth or via MGM internal channels. However, regardless of the origin, that massive amount of MGM data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of MGM Resorts news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of MGM Resorts relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to MGM Resorts' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive MGM Resorts alpha.
MGM Resorts Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards MGM Resorts can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
MGM Resorts International Historical Investor Sentiment
Investor biases related to MGM Resorts' public news can be used to forecast risks associated with an investment in MGM. The trend in average sentiment can be used to explain how an investor holding MGM can time the market purely based on public headlines and social activities around MGM Resorts International. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
MGM Resorts' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for MGM Resorts and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average MGM Resorts news discussions. The higher the estimate score, the more favorable the investor's outlook on MGM Resorts.
MGM Resorts Corporate Directors
| Alexis Herman | Independent Director | Profile | |
| Jan Swartz | Independent Director | Profile | |
| William Grounds | Director | Profile | |
| Joey Levin | Independent Director | Profile |
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in MGM Resorts International. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price. You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
Is Hotels, Restaurants & Leisure space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of MGM Resorts. If investors know MGM will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about MGM Resorts listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.326 | Earnings Share 2.79 | Revenue Per Share 54.26 | Quarterly Revenue Growth 0.053 | Return On Assets 0.0254 |
The market value of MGM Resorts International is measured differently than its book value, which is the value of MGM that is recorded on the company's balance sheet. Investors also form their own opinion of MGM Resorts' value that differs from its market value or its book value, called intrinsic value, which is MGM Resorts' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because MGM Resorts' market value can be influenced by many factors that don't directly affect MGM Resorts' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between MGM Resorts' value and its price, as these two are different measures arrived at by various means. Investors typically determine if MGM Resorts is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, MGM Resorts' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.