MGM Resorts International $MGM Shares Bought by Lodge Hill Capital LLC

Key Points

• Lodge Hill Capital LLC increased its stake in MGM Resorts International by 40.7% during the first quarter, acquiring an additional 112,000 shares to reach a total of 387,000 shares.
• Several institutional investors have also raised their stakes in MGM, with 68.11% of the stock currently held by institutional investors and hedge funds.
• MGM Resorts International announced a $2 billion stock buyback plan, indicating management's belief that the stock is undervalued.

Lodge Hill Capital LLC raised its stake in MGM Resorts International (NYSE:MGM - Free Report) by 40.7% in the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 387,000 shares of the company's stock after acquiring an additional 112,000 shares during the quarter. MGM Resorts International makes up 2.7% of Lodge Hill Capital LLC's portfolio, making the stock its 18th biggest holding. Lodge Hill Capital LLC owned approximately 0.14% of MGM Resorts International worth $11,471,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors have also recently added to or reduced their stakes in MGM. MML Investors Services LLC increased its stake in MGM Resorts International by 3.0% in the fourth quarter. MML Investors Services LLC now owns 43,891 shares of the company's stock valued at $1,521,000 after purchasing an additional 1,263 shares during the last quarter. Stifel Financial Corp increased its stake in MGM Resorts International by 12.1% in the fourth quarter. Stifel Financial Corp now owns 190,438 shares of the company's stock valued at $6,599,000 after purchasing an additional 20,609 shares during the last quarter. Quarry LP increased its stake in MGM Resorts International by 750.6% in the fourth 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. The Manufacturers Life Insurance Company increased its stake in MGM Resorts International by 2.5% in the fourth quarter. The Manufacturers Life Insurance Company now owns 185,011 shares of the company's stock valued at $6,411,000 after purchasing an additional 4,541 shares during the last quarter. Finally, Northern Trust Corp increased its stake in MGM Resorts International by 15.1% in the fourth quarter. Northern Trust Corp now owns 2,315,748 shares of the company's stock valued at $80,241,000 after purchasing an additional 303,711 shares during the last quarter. 68.11% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, Director Keith A. Meister sold 60,000 shares of the stock in a transaction dated 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 completion of the transaction, the director owned 5,627,478 shares of the company's stock, 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 document filed with the SEC, which is accessible through this link. Corporate insiders own 3.06% of the company's stock.

Wall Street Analyst Weigh In

Several research firms recently commented on MGM. The Goldman Sachs Group began coverage on MGM Resorts International in a research note on Monday, July 7th. They issued a "sell" rating and a $34.00 target price for the company. Truist Financial upped their target price on MGM Resorts International from $45.00 to $50.00 and gave the company a "buy" rating in a research note on Wednesday, July 16th. Stifel Nicolaus upped their price target on MGM Resorts International from $48.00 to $50.00 and gave the stock a "buy" rating in a research note on Thursday, July 31st. Seaport Res Ptn lowered MGM Resorts International from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 21st. Finally, Susquehanna upped their price target on MGM Resorts International from $50.00 to $60.00 and gave the stock a "positive" rating in a research note on Tuesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $48.72.

MGM Resorts International Price Performance

Shares of NYSE MGM opened at $39.77 on Thursday. The company has a market capitalization of $10.83 billion, a price-to-earnings ratio of 21.85, a PEG ratio of 1.82 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 debt-to-equity ratio of 1.67, a current ratio of 1.22 and a quick ratio of 1.18. The business has a 50-day moving average of $36.53 and a 200-day moving average of $33.72.

MGM Resorts International (NYSE:MGM - Get Free Report) last issued its quarterly 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 during the quarter, compared to the consensus estimate 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 business posted $0.86 earnings per share. On average, equities analysts anticipate that MGM Resorts International will post 2.21 EPS for the current fiscal year.

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

MGM Resorts International 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.

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