JPMorgan Chase & Co. Issues Pessimistic Forecast for MGM Resorts International (NYSE:MGM) Stock Price

Key Points

• JPMorgan Chase & Co. has lowered its price target for MGM Resorts International from $43.00 to $41.00, maintaining a "neutral" rating on the stock.
• Despite the downgrade from JPMorgan, analysts remain divided; Citigroup upgraded MGM to a "strong-buy," while Goldman Sachs decreased its target to $34.00 with a "sell" rating.
• MGM reported a quarterly earnings per share of $0.79, surpassing estimates of $0.58, and achieved a revenue of $4.40 billion, reflecting a year-over-year growth of 1.8%.

MGM Resorts International (NYSE:MGM - Get Free Report) had its price objective decreased by research analysts at JPMorgan Chase & Co. from $43.00 to $41.00 in a research report issued on Thursday,Benzinga reports. The firm presently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective suggests a potential upside of 27.50% from the company's previous close.

A number of other equities analysts also recently issued reports on the company. Citigroup upgraded MGM Resorts International from a "hold" rating to a "strong-buy" rating and raised their price objective for the stock from $55.00 to $57.00 in a research report on Wednesday, July 9th. The Goldman Sachs Group dropped their price objective on MGM Resorts International from $37.00 to $34.00 and set a "sell" rating for the company in a report on Wednesday, October 1st. Citizens Jmp lowered MGM Resorts International from an "outperform" rating to a "market perform" rating in a report on Thursday, June 26th. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of MGM Resorts International in a research note on Wednesday, October 8th. Finally, Barclays increased their price objective on MGM Resorts International from $43.00 to $44.00 and gave the company an "overweight" rating in a report on Friday, July 18th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, eight have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $48.78.

MGM Resorts International Price Performance

MGM opened at $32.16 on Thursday. The company has a market cap of $8.75 billion, a P/E ratio of 17.67, a P/E/G ratio of 1.33 and a beta of 1.67. MGM Resorts International has a 52-week low of $25.30 and a 52-week high of $42.53. The company has a 50 day moving average of $35.62 and a two-hundred day moving average of $34.03. 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 posted its quarterly earnings data on Wednesday, July 30th. The company reported $0.79 EPS for the quarter, beating analysts' consensus estimates of $0.58 by $0.21. The company had revenue of $4.40 billion during the quarter, compared to analyst estimates of $4.28 billion. MGM Resorts International had a net margin of 3.13% and a return on equity of 19.39%. The business's quarterly revenue was up 1.8% on a year-over-year basis. During the same period in the prior year, the firm earned $0.86 earnings per share. On average, analysts expect that MGM Resorts International will post 2.21 earnings per share for the current year.

Insider Activity at MGM Resorts International

In related news, Director Keith A. Meister sold 242,000 shares of MGM Resorts International stock in a transaction that occurred on Thursday, September 11th. The shares were sold at an average price of $35.42, for a total transaction of $8,571,640.00. Following the sale, the director directly owned 5,385,478 shares of the company's stock, valued at approximately $190,753,630.76. The trade was a 4.30% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider John Mcmanus sold 60,000 shares of the business's stock in a transaction that occurred on Monday, September 15th. The stock was sold at an average price of $36.12, for a total transaction of $2,167,200.00. Following the completion of the transaction, the insider owned 31,521 shares in the company, valued at $1,138,538.52. This trade represents a 65.56% decrease in their position. The disclosure for this sale can be found here. 3.06% of the stock is owned by insiders.

Institutional Investors Weigh In On MGM Resorts International

A number of institutional investors and hedge funds have recently modified their holdings of MGM. CYBER HORNET ETFs LLC bought a new stake in shares of MGM Resorts International during the 2nd quarter valued at $25,000. Mendota Financial Group LLC acquired a new stake in MGM Resorts International in the third quarter worth about $27,000. Golden State Wealth Management LLC lifted its holdings in MGM Resorts International by 83.5% in the first quarter. Golden State Wealth Management LLC now owns 1,000 shares of the company's stock valued at $30,000 after acquiring an additional 455 shares during the period. Bayforest Capital Ltd purchased a new stake in shares of MGM Resorts International in the first quarter valued at approximately $43,000. Finally, MassMutual Private Wealth & Trust FSB grew its holdings in MGM Resorts International by 66.9% in the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 1,320 shares of the company's stock valued at $45,000 after buying an additional 529 shares in the last quarter. 68.11% of the stock is owned by hedge funds and other institutional investors.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.