MGM Resorts International (NYSE:MGM) Price Target Lowered to $58.00 at Mizuho

Key Points

• Mizuho has reduced its price target for MGM Resorts International from $59.00 to $58.00, maintaining an "outperform" rating on the stock, suggesting a potential upside of 59.00% from its previous close.
• In recent analyst reports, MGM received mixed ratings, with upgrades from Wall Street Zen to "hold" and downgrades from other firms, leading to a current consensus rating of "Moderate Buy" and an average price target of $48.56.
• MGM's recent quarterly earnings showed an EPS of $0.79, surpassing estimates, with revenue up 1.8% year-over-year, indicating strong financial performance amidst fluctuating stock valuations.

MGM Resorts International (NYSE:MGM - Get Free Report) had its price target decreased by analysts at Mizuho from $59.00 to $58.00 in a report released on Thursday,Benzinga reports. The brokerage presently has an "outperform" rating on the stock. Mizuho's target price would indicate a potential upside of 62.30% from the company's previous close.

Other research analysts have also recently issued reports about the stock. Macquarie lowered their price target on shares of MGM Resorts International from $50.00 to $48.00 and set an "outperform" rating on the stock in a report on Friday, May 2nd. Wall Street Zen raised shares of MGM Resorts International from a "sell" rating to a "hold" rating in a report on Thursday, May 22nd. Barclays increased their price target 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. UBS Group increased their price target on shares of MGM Resorts International from $37.00 to $42.00 and gave the company a "neutral" rating in a report on Tuesday, July 8th. Finally, Citizens Jmp cut shares of MGM Resorts International from an "outperform" rating to a "market perform" rating in a report on Thursday, June 26th. Two analysts have rated the stock with a sell rating, eight have issued a hold rating, fourteen have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $48.56.

MGM Resorts International Stock Performance

NYSE:MGM traded down $0.01 during mid-day trading on Thursday, hitting $35.74. The stock had a trading volume of 721,639 shares, compared to its average volume of 5,443,396. MGM Resorts International has a twelve month low of $25.30 and a twelve month high of $42.53. The stock has a market cap of $9.73 billion, a price-to-earnings ratio of 19.65, a PEG ratio of 2.15 and a beta of 1.81. The company's 50 day simple moving average is $35.13 and its 200 day simple moving average is $33.40. The company has a debt-to-equity ratio of 1.67, a quick ratio of 1.18 and a current ratio of 1.22.

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 firm had revenue of $4.40 billion for the quarter, compared to analysts' expectations 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 revenue was up 1.8% on a year-over-year basis. During the same period in the prior year, the firm earned $0.86 EPS. On average, equities research analysts forecast that MGM Resorts International will post 2.21 earnings per share for the current year.

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

Insider Activity at MGM Resorts International

In related news, Director Daniel J. Taylor sold 5,261 shares of MGM Resorts International stock in a transaction that occurred on Tuesday, May 13th. The shares were sold at an average price of $34.93, for a total value of $183,766.73. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, COO Corey Ian Sanders sold 40,000 shares of MGM Resorts International stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $34.43, for a total transaction of $1,377,200.00. Following the completion of the transaction, the chief operating officer directly owned 281,530 shares in the company, valued at $9,693,077.90. This trade represents a 12.44% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 105,261 shares of company stock valued at $3,486,367 over the last three months. 3.06% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Mascagni Wealth Management Inc. acquired a new position in shares of MGM Resorts International during the fourth quarter worth $28,000. True Wealth Design LLC acquired a new stake in MGM Resorts International in the fourth quarter valued at $33,000. Golden State Wealth Management LLC increased 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 purchasing an additional 455 shares during the period. CX Institutional acquired a new stake in MGM Resorts International in the first quarter valued at $36,000. Finally, MassMutual Private Wealth & Trust FSB increased its holdings in MGM Resorts International by 66.9% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 1,320 shares of the company's stock valued at $45,000 after purchasing an additional 529 shares during the period. 68.11% of the stock is currently owned by institutional investors and hedge funds.

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.