Brandywine Global Investment Management LLC Grows Position in MGM Resorts International $MGM

Key Points

• Brandywine Global Investment Management LLC has increased its holdings in MGM Resorts International by 22.8%, owning a total of 571,049 shares valued at approximately $16.93 million.
• Several hedge funds have significantly increased their stakes in MGM, with ArrowMark Colorado Holdings LLC growing its holdings by 42.8% to own 937,175 shares worth about $32.47 million.
• MGM Resorts has authorized a $2 billion share repurchase plan, allowing the company to buy back up to 22.4% of its shares, indicating a potential belief in the undervaluation of its stock.

Brandywine Global Investment Management LLC lifted its position in MGM Resorts International (NYSE:MGM - Free Report) by 22.8% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 571,049 shares of the company's stock after acquiring an additional 105,891 shares during the quarter. Brandywine Global Investment Management LLC owned 0.21% of MGM Resorts International worth $16,926,000 as of its most recent SEC filing.

Other large investors have also added to or reduced their stakes in the company. ArrowMark Colorado Holdings LLC raised its holdings in MGM Resorts International by 42.8% in the fourth quarter. ArrowMark Colorado Holdings LLC now owns 937,175 shares of the company's stock worth $32,473,000 after purchasing an additional 280,700 shares in the last quarter. Vontobel Holding Ltd. raised its holdings in MGM Resorts International by 74.6% in the first quarter. Vontobel Holding Ltd. now owns 21,778 shares of the company's stock worth $646,000 after purchasing an additional 9,304 shares in the last quarter. Wealth Enhancement Advisory Services LLC raised its holdings in MGM Resorts International by 60.3% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 61,748 shares of the company's stock worth $1,830,000 after purchasing an additional 23,234 shares in the last quarter. Achmea Investment Management B.V. raised its holdings in MGM Resorts International by 46.3% in the first quarter. Achmea Investment Management B.V. now owns 35,227 shares of the company's stock worth $1,045,000 after purchasing an additional 11,152 shares in the last quarter. Finally, Osborne Partners Capital Management LLC raised its holdings in MGM Resorts International by 4.1% in the first quarter. Osborne Partners Capital Management LLC now owns 326,197 shares of the company's stock worth $9,668,000 after purchasing an additional 12,833 shares in the last quarter. 68.11% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on MGM shares. Wall Street Zen upgraded shares of MGM Resorts International from a "sell" rating to a "hold" rating in a report on Thursday, May 22nd. Mizuho reduced their target price on shares of MGM Resorts International from $59.00 to $58.00 and set an "outperform" rating for the company in a report on Thursday, July 31st. Citizens Jmp downgraded shares of MGM Resorts International from an "outperform" rating to a "market perform" rating in a report on Thursday, June 26th. Citigroup upgraded shares of MGM Resorts International from a "hold" rating to a "strong-buy" rating and upped their price objective for the company from $55.00 to $57.00 in a report on Wednesday, July 9th. Finally, Barclays upped their price objective on shares of MGM Resorts International from $43.00 to $44.00 and gave the company an "overweight" rating in a report on Friday, July 18th. One research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, MGM Resorts International currently has a consensus rating of "Moderate Buy" and a consensus target price of $48.72.

Insider Buying and Selling

In related news, Director Keith A. Meister sold 60,000 shares of the company's stock in a transaction that occurred on Friday, June 13th. The stock was sold at an average price of $32.09, for a total value of $1,925,400.00. Following the sale, the director owned 5,627,478 shares in the company, valued at $180,585,769.02. This represents a 1.05% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 3.06% of the stock is currently owned by corporate insiders.

MGM Resorts International Stock Down 1.2%

Shares of MGM traded down $0.4550 during mid-day trading on Wednesday, hitting $36.2550. 1,715,253 shares of the company traded hands, compared to its average volume of 5,334,510. The business has a 50 day moving average of $35.99 and a 200 day moving average of $33.57. The company has a market capitalization of $9.87 billion, a PE ratio of 19.94, a price-to-earnings-growth ratio of 1.71 and a beta of 1.81. MGM Resorts International has a 1-year low of $25.30 and a 1-year high of $42.53. The company has a quick ratio of 1.18, a current ratio of 1.22 and a debt-to-equity ratio of 1.67.

MGM Resorts International (NYSE:MGM - Get Free Report) last issued its earnings results on Wednesday, July 30th. The company reported $0.79 EPS for the quarter, beating analysts' consensus estimates of $0.58 by $0.21. The firm had revenue of $4.40 billion for the quarter, compared to analyst estimates of $4.28 billion. MGM Resorts International had a return on equity of 19.39% and a net margin of 3.13%.MGM Resorts International's revenue for the quarter was up 1.8% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.86 earnings per share. Equities research analysts anticipate that MGM Resorts International will post 2.21 EPS for the current year.

MGM Resorts International announced that its Board of Directors has approved a share buyback plan on Wednesday, April 30th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the company to buy up to 22.4% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

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.