MGM Resorts International (NYSE:MGM) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Monday. The brokerage currently has a $40.00 price target on the stock. Zacks Investment Research‘s price objective would suggest a potential upside of 15.51% from the stock’s previous close.
According to Zacks, “MGM Resorts’ strong portfolio, new resort openings, a few other entertainment offerings in the pipeline and focus on non-gaming activities bode well for long-term growth. Shares of the company outperformed its industry in the past three months. Revival of gaming revenues in Macau is also a huge positive. Still, it will take some time for the region to return to its former glory as evident from weak results at MGM China in the last two quarters. Despite significant improvement in the VIP market, the company’s VIP business has been largely struggling. Additionally, another corruption crackdown might affect Macau’s recovery and, in turn, hamper the company’s performance. Heightened competition and increased debt pressure raises concern. The Las Vegas shooting massacre is likely to somewhat hamper fourth-quarter revenues and profitability. Estimates are stable ahead of the comany's fourth quarter earnings release.”
MGM has been the topic of several other research reports. Morgan Stanley set a $34.00 price objective on shares of MGM Resorts International and gave the company a “buy” rating in a research note on Friday, October 13th. Nomura reduced their price objective on shares of MGM Resorts International from $38.00 to $37.00 and set a “buy” rating on the stock in a research note on Wednesday, November 1st. Roth Capital started coverage on shares of MGM Resorts International in a research note on Wednesday, October 25th. They set a “buy” rating and a $38.00 price objective on the stock. Jefferies Group started coverage on shares of MGM Resorts International in a research note on Thursday, January 18th. They set a “buy” rating and a $43.00 price objective on the stock. Finally, JPMorgan Chase & Co. reissued an “overweight” rating and set a $44.00 price objective (up previously from $41.00) on shares of MGM Resorts International in a research note on Tuesday, January 9th. Four analysts have rated the stock with a hold rating and fifteen have issued a buy rating to the company. MGM Resorts International currently has a consensus rating of “Buy” and an average target price of $37.38.
MGM Resorts International (NYSE:MGM) last announced its quarterly earnings data on Wednesday, November 8th. The company reported $0.33 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.33. MGM Resorts International had a net margin of 5.44% and a return on equity of 6.47%. equities research analysts expect that MGM Resorts International will post 1.09 earnings per share for the current fiscal year.
In other MGM Resorts International news, insider Robert Baldwin sold 61,600 shares of the stock in a transaction that occurred on Wednesday, November 15th. The shares were sold at an average price of $32.56, for a total transaction of $2,005,696.00. Following the transaction, the insider now owns 70,049 shares of the company’s stock, valued at $2,280,795.44. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Sean Charland purchased 25,000 shares of the business’s stock in a transaction on Wednesday, December 6th. The shares were bought at an average cost of $22.50 per share, for a total transaction of $562,500.00. In the last ninety days, insiders have sold 96,877 shares of company stock worth $3,187,002. 12.20% of the stock is currently owned by insiders.
A number of large investors have recently bought and sold shares of MGM. Thrivent Financial For Lutherans purchased a new position in MGM Resorts International during the second quarter worth approximately $250,000. Nordea Investment Management AB raised its stake in MGM Resorts International by 3.2% during the second quarter. Nordea Investment Management AB now owns 15,493 shares of the company’s stock worth $485,000 after purchasing an additional 475 shares during the period. Parametric Portfolio Associates LLC raised its stake in MGM Resorts International by 4.0% during the second quarter. Parametric Portfolio Associates LLC now owns 438,402 shares of the company’s stock worth $13,718,000 after purchasing an additional 16,964 shares during the period. First Allied Advisory Services Inc. purchased a new position in MGM Resorts International during the second quarter worth approximately $225,000. Finally, Janus Henderson Group PLC increased its position in shares of MGM Resorts International by 1,978.3% in the second quarter. Janus Henderson Group PLC now owns 1,106,856 shares of the company’s stock worth $34,634,000 after acquiring an additional 1,053,597 shares in the last quarter. 82.15% of the stock is currently owned by institutional investors.
About MGM Resorts International
MGM Resorts International is a holding company. The Company, through its subsidiaries, owns and operates casino resorts. The Company operates in two segments: domestic resorts and MGM China. Its domestic resorts segment consists of non-gaming operations, including hotel, food and beverage, entertainment and other non-gaming amenities.
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