Traders Purchase Large Volume of MGM Resorts International Call Options (NYSE:MGM)

MGM Resorts International (NYSE:MGM) was the recipient of some unusual options trading on Tuesday. Stock traders purchased 14,864 call options on the company. This represents an increase of 46% compared to the average daily volume of 10,171 call options.

MGM Resorts International Trading Up 1.9%

Shares of MGM stock opened at $34.80 on Thursday. The business’s fifty day moving average price is $32.96 and its 200 day moving average price is $34.58. The firm has a market capitalization of $9.52 billion, a PE ratio of 217.47, a P/E/G ratio of 1.40 and a beta of 1.66. The company has a debt-to-equity ratio of 1.67, a current ratio of 1.22 and a quick ratio of 1.18. MGM Resorts International has a 1-year low of $25.30 and a 1-year high of $41.32.

MGM Resorts International (NYSE:MGM) last issued its earnings results on Wednesday, October 29th. The company reported $0.24 EPS for the quarter, missing the consensus estimate of $0.37 by ($0.13). The company had revenue of $4.25 billion for the quarter, compared to analysts’ expectations of $4.24 billion. MGM Resorts International had a return on equity of 16.95% and a net margin of 0.40%.MGM Resorts International’s revenue for the quarter was up 1.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.54 earnings per share. As a group, sell-side analysts forecast that MGM Resorts International will post 2.21 EPS for the current fiscal year.

Insiders Place Their Bets

In other MGM Resorts International news, insider John Mcmanus sold 60,000 shares of the stock in a transaction that occurred on Monday, September 15th. The shares were sold at an average price of $36.12, for a total value of $2,167,200.00. Following the transaction, the insider directly owned 31,521 shares in the company, valued at $1,138,538.52. This represents a 65.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Keith A. Meister sold 242,000 shares of the firm’s stock in a transaction that occurred on Thursday, September 11th. The stock was sold at an average price of $35.42, for a total transaction of $8,571,640.00. Following the sale, the director directly owned 5,385,478 shares in the company, valued at approximately $190,753,630.76. The trade was a 4.30% decrease in their position. The SEC filing for this sale provides additional information. Company insiders own 3.06% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. CYBER HORNET ETFs LLC purchased a new stake in MGM Resorts International during the 2nd quarter worth about $25,000. Mendota Financial Group LLC acquired a new stake in shares of MGM Resorts International during the 3rd quarter worth about $27,000. Mather Group LLC. purchased a new stake in shares of MGM Resorts International during the third quarter worth about $33,000. Employees Retirement System of Texas purchased a new stake in shares of MGM Resorts International during the second quarter worth about $45,000. Finally, MassMutual Private Wealth & Trust FSB raised its position in shares of MGM Resorts International by 66.9% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 1,320 shares of the company’s stock valued at $45,000 after buying an additional 529 shares during the last quarter. 68.11% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

MGM has been the subject of several research reports. Mizuho set a $62.00 price target on shares of MGM Resorts International in a research report on Thursday, October 30th. Stifel Nicolaus set a $45.00 price objective on shares of MGM Resorts International in a research note on Thursday, October 30th. Morgan Stanley increased their target price on shares of MGM Resorts International from $41.00 to $43.00 and gave the stock an “equal weight” rating in a research note on Thursday, September 11th. Deutsche Bank Aktiengesellschaft lowered their price target on MGM Resorts International from $54.00 to $53.00 in a report on Monday, September 22nd. Finally, Argus reduced their price objective on MGM Resorts International from $45.00 to $40.00 and set a “buy” rating for the company in a research note on Friday, November 14th. Thirteen research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and four have given a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and an average price target of $45.97.

About MGM Resorts International

MGM Resorts International, through its subsidiaries, owns and operates casino, hotel, and entertainment resorts in the United States and internationally. The company operates through three segments: Las Vegas Strip Resorts, Regional Operations, and MGM China. Its casino resorts offer gaming, hotel, convention, dining, entertainment, retail, and other resort amenities.