Fuller & Thaler Asset Management Inc. Buys New Stake in MGM Resorts International $MGM

Key Points

• Fuller & Thaler Asset Management Inc. has acquired a new position in MGM Resorts International, purchasing approximately 1.6 million shares valued at around $47.6 million, representing about 0.59% of the company's stock.
• MGM Resorts International recently reported earnings of $0.79 per share, exceeding analysts' estimates, with revenue for the quarter reaching $4.40 billion.
• The company has authorized a $2 billion share buyback plan, suggesting that the leadership believes its shares are undervalued.

Fuller & Thaler Asset Management Inc. purchased a new stake in MGM Resorts International (NYSE:MGM - Free Report) during the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund purchased 1,606,984 shares of the company's stock, valued at approximately $47,631,000. Fuller & Thaler Asset Management Inc. owned 0.59% of MGM Resorts International as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors and hedge funds have also recently modified their holdings of MGM. Mascagni Wealth Management Inc. acquired a new stake in MGM Resorts International in the 4th quarter valued at $28,000. True Wealth Design LLC purchased a new stake in MGM Resorts International in the 4th quarter valued at $33,000. Golden State Wealth Management LLC increased its position in shares of MGM Resorts International by 83.5% during the 1st quarter. Golden State Wealth Management LLC now owns 1,000 shares of the company's stock valued at $30,000 after purchasing an additional 455 shares during the last quarter. CX Institutional purchased a new stake in shares of MGM Resorts International during the 1st quarter valued at $36,000. Finally, Quarry LP increased its position in shares of MGM Resorts International by 750.6% during the 4th quarter. Quarry LP now owns 1,446 shares of the company's stock valued at $50,000 after purchasing an additional 1,276 shares during the last quarter. 68.11% of the stock is currently owned by institutional investors.

Insider Buying and Selling at MGM Resorts International

In other news, Director Keith A. Meister sold 60,000 shares of the 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 directly owned 5,627,478 shares in the company, valued at approximately $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 SEC, which can be accessed through the SEC website. Insiders own 3.06% of the company's stock.

Wall Street Analyst Weigh In

MGM has been the subject of a number of analyst reports. Mizuho cut their price target on 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 MGM Resorts International from an "outperform" rating to a "market perform" rating in a research report on Thursday, June 26th. Seaport Res Ptn downgraded MGM Resorts International from a "strong-buy" rating to a "hold" rating in a research report on Monday, July 21st. Citigroup upgraded MGM Resorts International from a "hold" rating to a "strong-buy" rating and raised their price target for the stock from $55.00 to $57.00 in a research report on Wednesday, July 9th. Finally, Morgan Stanley lifted their price target on MGM Resorts International from $38.00 to $41.00 and gave the stock an "equal weight" rating in a research note on Wednesday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $48.72.

MGM Resorts International Price Performance

Shares of NYSE MGM traded up $1.7750 during mid-day trading on Friday, reaching $37.9950. The company's stock had a trading volume of 4,617,518 shares, compared to its average volume of 5,330,984. The firm has a market capitalization of $10.34 billion, a PE ratio of 20.88, a P/E/G ratio of 1.71 and a beta of 1.81. MGM Resorts International has a 52 week low of $25.30 and a 52 week high of $42.53. The company has a debt-to-equity ratio of 1.67, a current ratio of 1.22 and a quick ratio of 1.18. The stock has a fifty day moving average of $36.12 and a two-hundred day moving average of $33.60.

MGM Resorts International (NYSE:MGM - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The company reported $0.79 earnings per share for the quarter, beating the consensus estimate of $0.58 by $0.21. The business had revenue of $4.40 billion during the quarter, compared to analysts' expectations of $4.28 billion. MGM Resorts International had a return on equity of 19.39% and a net margin of 3.13%.The firm's revenue for the quarter was up 1.8% compared to the same quarter last year. During the same quarter last year, the business posted $0.86 EPS. As a group, sell-side analysts anticipate that MGM Resorts International will post 2.21 EPS for the current fiscal year.

MGM Resorts International declared that its Board of Directors has initiated a share buyback plan on Wednesday, April 30th that authorizes the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 22.4% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's management believes its stock is undervalued.

MGM Resorts International Company Profile

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.