JPMorgan Chase & Co. Issues Pessimistic Forecast for MGM Resorts International (NYSE:MGM) Stock Price

Key Points

• JPMorgan cut MGM Resorts’ price target from $53 to $42 while maintaining an “overweight” rating, implying roughly 46.5% upside from the stock’s $28.67 price.
• Analyst sentiment is mixed: MGM has a consensus “Hold” rating and an average target price of $46.71, with recent target reductions from Citigroup, UBS, and Mizuho alongside upgrades from HSBC and Weiss Ratings.
• MGM shares have declined sharply, trading near their one-year low and below both their 50-day and 200-day moving averages; institutional investors own 68.11% of the company.

MGM Resorts International (NYSE:MGM - Get Free Report) had its target price reduced by stock analysts at JPMorgan Chase & Co. from $53.00 to $42.00 in a report issued on Tuesday, Benzinga reports. The firm currently has an "overweight" rating on the stock. JPMorgan Chase & Co.'s target price suggests a potential upside of 46.49% from the company's current price.

Other equities research analysts have also recently issued reports about the stock. HSBC raised shares of MGM Resorts International to a "strong-buy" rating in a research report on Thursday, July 30th. Citigroup reduced their target price on shares of MGM Resorts International from $48.00 to $32.00 and set a "neutral" rating on the stock in a research report on Monday, October 12th. Weiss Ratings raised shares of MGM Resorts International from a "sell (d+)" rating to a "hold (c)" rating in a research note on Thursday, July 30th. UBS Group decreased their price target on shares of MGM Resorts International from $50.00 to $46.00 and set a "neutral" rating for the company in a research note on Friday, September 11th. Finally, Mizuho lowered their price target on MGM Resorts International from $60.00 to $55.00 and set an "outperform" rating for the company in a report on Thursday, September 24th. Two research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating, eight have issued a Hold rating and three have assigned a Sell rating to the company's stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $46.71.

MGM Resorts International Trading Up 0.7%

MGM Resorts International stock traded up $0.20 during mid-day trading on Tuesday, hitting $28.67. The company's stock had a trading volume of 1,633,132 shares, compared to its average volume of 4,332,469. 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 company has a 50 day moving average of $37.45 and a 200-day moving average of $41.04. MGM Resorts International has a one year low of $27.93 and a one year high of $51.59. The stock has a market cap of $7.21 billion, a PE ratio of 17.38, a P/E/G ratio of 1.47 and a beta of 1.35.

MGM Resorts International (NYSE:MGM - Get Free Report) last released its earnings results on Wednesday, July 29th. The company reported $0.59 earnings per share for the quarter, topping the consensus estimate of $0.56 by $0.03. The business had revenue of $4.45 billion during the quarter, compared to the consensus estimate 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 for the quarter was up 2.2% compared to the same quarter last year. During the same period last year, the company earned $0.79 earnings per share. On average, research analysts anticipate that MGM Resorts International will post 1.95 EPS for the current year.

Institutional Investors Weigh In On MGM Resorts International

Several large investors have recently modified their holdings of the business. International Assets Investment Management LLC acquired a new stake in MGM Resorts International during the 1st quarter valued at approximately $30,000. Optiver Holding B.V. purchased a new stake in shares of MGM Resorts International in the 1st quarter valued at $35,000. Versant Capital Management Inc increased its stake in shares of MGM Resorts International by 41.3% in the third quarter. Versant Capital Management Inc now owns 1,437 shares of the company's stock worth $45,000 after acquiring an additional 420 shares during the period. Fiduciary Financial Advisors acquired a new stake in shares of MGM Resorts International in the second quarter worth $48,000. Finally, Contravisory Investment Management Inc. acquired a new stake in shares of MGM Resorts International in the third quarter worth $50,000. Institutional investors own 68.11% of the company's stock.

MGM Resorts International Company Profile

MGM Resorts International is a global hospitality and entertainment company that develops, owns, and operates destination resorts featuring casinos, hotels, restaurants, entertainment venues, convention facilities, retail spaces, and nightlife offerings. Its portfolio includes well-known properties such as MGM Grand, Bellagio, ARIA, Mandalay Bay, and The Cosmopolitan of Las Vegas.

The company serves customers through properties in Las Vegas and other U.S. markets, including regional destinations in Michigan, Maryland, Massachusetts, Mississippi, New Jersey, New York, and Ohio.

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