MGM Resorts International (NYSE:MGM) Stock Price Target Lowered at Stifel Nicolaus

Key Points

• Stifel Nicolaus lowered MGM Resorts’ price target from $49 to $40 while maintaining a “Hold” rating; the new target implies roughly 39.9% upside from the stock’s $28.59 price.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and average price target of $47.35. Recent target cuts came from UBS, Citigroup, Truist Financial, and Wells Fargo.
• MGM reported quarterly EPS of $0.59, exceeding the $0.56 consensus estimate, while revenue reached $4.45 billion. Hedge funds and other institutional investors own approximately 68.1% of the company’s shares.

MGM Resorts International (NYSE:MGM - Get Free Report) had its price target dropped by investment analysts at Stifel Nicolaus from $49.00 to $40.00 in a note issued to investors on Tuesday, Benzinga reports. The brokerage currently has a "hold" rating on the stock. Stifel Nicolaus' target price would indicate a potential upside of 39.89% from the company's current price.

A number of other equities analysts have also recently commented on the company. UBS Group lowered their target price on MGM Resorts International from $50.00 to $46.00 and set a "neutral" rating for the company in a report on Friday, September 11th. HSBC upgraded shares of MGM Resorts International to a "strong-buy" rating in a research note on Thursday, July 30th. Citigroup reduced their price target 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. Truist Financial lowered their price objective on shares of MGM Resorts International from $55.00 to $45.00 and set a "buy" rating for the company in a research note on Tuesday. Finally, Wells Fargo & Company dropped their price objective on shares of MGM Resorts International from $48.30 to $29.00 and set an "equal weight" rating for the company in a report on Monday. Two research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, MGM Resorts International has a consensus rating of "Hold" and a consensus target price of $47.35.

MGM Resorts International Trading Up 0.4%

Shares of MGM traded up $0.12 during midday trading on Tuesday, hitting $28.59. 1,469,994 shares of the stock were exchanged, compared to its average volume of 4,331,800. MGM Resorts International has a 52-week low of $27.93 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 stock has a fifty day simple moving average of $37.45 and a 200 day simple moving average of $41.04. The firm has a market cap of $7.19 billion, a P/E ratio of 17.33, a P/E/G ratio of 1.47 and a beta of 1.35.

MGM Resorts International (NYSE:MGM - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The company reported $0.59 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.56 by $0.03. MGM Resorts International had a return on equity of 23.30% and a net margin of 2.40%. The firm had revenue of $4.45 billion for the quarter, compared to the consensus estimate of $4.42 billion. During the same quarter in the previous year, the business earned $0.79 EPS. The company's quarterly revenue was up 2.2% compared to the same quarter last year. On average, research analysts anticipate that MGM Resorts International will post 1.95 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Man Group plc purchased a new stake in shares of MGM Resorts International during the second quarter worth approximately $25,771,000. Connor Clark & Lunn Investment Management Ltd. acquired a new stake in shares of MGM Resorts International during the second quarter worth $22,681,000. Clough Capital Partners L P purchased a new position in MGM Resorts International in the 1st quarter valued at $15,857,000. Legal & General Group Plc purchased a new position in MGM Resorts International in the 2nd quarter valued at $16,570,000. Finally, Jefferies Financial Group Inc. acquired a new position in MGM Resorts International in the 2nd quarter valued at $15,864,000. 68.11% of the stock is currently owned by hedge funds and other institutional investors.

About MGM Resorts International

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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