MGM Resorts International (NYSE:MGM) Stock Has Average Target Price of $44.29

Key Points

• Analyst sentiment is mixed: MGM has an average “Hold” rating from 22 analysts, with a consensus 12-month price target of $44.29. Recent firms cut price targets, including Barclays to $34 and Stifel to $35.
• MGM’s latest quarterly results missed earnings expectations, reporting a loss of $0.11 per share versus the forecast of $0.04 profit; revenue of $4.21 billion matched estimates but was down 0.9% year over year.
• Director Keith Meister bought about 1.74 million shares for roughly $51.5 million, increasing his stake by 32.5%.

Shares of MGM Resorts International (NYSE:MGM - Get Free Report) have been given an average rating of "Hold" by the twenty-two research firms that are presently covering the stock, Marketbeat reports. Three analysts have rated the stock with a sell rating, eight have issued a hold rating, nine have given a buy rating and two have issued a strong buy rating on the company. The average 1 year price objective among brokers that have covered the stock in the last year is $44.29.

MGM has been the subject of several recent research reports. Wall Street Zen cut MGM Resorts International from a "hold" rating to a "sell" rating in a report on Saturday, October 31st. Barclays reduced their price target on shares of MGM Resorts International from $37.00 to $34.00 and set an "equal weight" rating for the company in a research note on Thursday, October 29th. Zacks Research cut MGM Resorts International from a "hold" rating to a "strong sell" rating in a research report on Friday, October 2nd. Stifel Nicolaus decreased their price objective on MGM Resorts International from $40.00 to $35.00 and set a "hold" rating for the company in a research note on Thursday, October 29th. Finally, Susquehanna dropped their target price on shares of MGM Resorts International from $46.00 to $41.00 and set a "positive" rating for the company in a research report on Thursday, October 8th.

Insider Activity

In other MGM Resorts International news, Director Keith Meister acquired 1,738,074 shares of the stock in a transaction on Friday, October 30th. The shares were purchased at an average price of $29.64 per share, for a total transaction of $51,516,513.36. Following the completion of the acquisition, the director owned 7,086,052 shares in the company, valued at approximately $210,030,581.28. This represents a 32.50% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Company insiders own 3.38% of the company's stock.

Hedge Funds Weigh In On MGM Resorts International

A number of hedge funds have recently bought and sold shares of the business. State Street Corp lifted its stake in shares of MGM Resorts International by 0.8% during the second quarter. State Street Corp now owns 7,047,768 shares of the company's stock valued at $336,954,000 after buying an additional 56,072 shares during the period. Dimensional Fund Advisors LP grew its position in MGM Resorts International by 1.6% during the first quarter. Dimensional Fund Advisors LP now owns 2,379,727 shares of the company's stock valued at $88,050,000 after buying an additional 36,649 shares during the period. Montanova Capital LLC grew its position in MGM Resorts International by 7.7% during the 2nd quarter. Montanova Capital LLC now owns 2,325,360 shares of the company's stock worth $111,175,000 after acquiring an additional 166,560 shares during the last quarter. Bank of New York Mellon Corp boosted its holdings in shares of MGM Resorts International by 3.0% during the 2nd quarter. Bank of New York Mellon Corp now owns 1,598,531 shares of the company's stock valued at $76,426,000 after acquiring an additional 46,268 shares during the last quarter. Finally, Royal Bank of Canada lifted its holdings in shares of MGM Resorts International by 2.2% in the 1st quarter. Royal Bank of Canada now owns 1,110,977 shares of the company's stock worth $41,117,000 after acquiring an additional 23,951 shares during the last quarter. Hedge funds and other institutional investors own 68.11% of the company's stock.

MGM Resorts International Price Performance

NYSE:MGM opened at $32.28 on Friday. MGM Resorts International has a 52 week low of $26.71 and a 52 week high of $51.59. The company has a quick ratio of 1.20, a current ratio of 1.24 and a debt-to-equity ratio of 1.68. The business's 50-day simple moving average is $33.63 and its two-hundred day simple moving average is $38.93. The stock has a market cap of $8.17 billion, a PE ratio of 12.27, a P/E/G ratio of 1.82 and a beta of 1.34.

MGM Resorts International (NYSE:MGM - Get Free Report) last posted its earnings results on Wednesday, October 28th. The company reported ($0.11) EPS for the quarter, missing analysts' consensus estimates of $0.04 by ($0.15). MGM Resorts International had a net margin of 3.92% and a return on equity of 20.58%. The business had revenue of $4.21 billion during the quarter, compared to analysts' expectations of $4.21 billion. During the same quarter in the prior year, the firm earned $0.24 EPS. MGM Resorts International's revenue for the quarter was down .9% compared to the same quarter last year. As a group, analysts forecast that MGM Resorts International will post 1.68 EPS for the current fiscal year.

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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