MGM Resorts International (NYSE:MGM) Given New $43.00 Price Target at Morgan Stanley

Key Points

• Morgan Stanley raised the price target for MGM Resorts International from $41.00 to $43.00, suggesting a potential upside of 19.53% from the current stock price.
• Multiple brokerages have updated their ratings for MGM, with Citigroup upgrading it to a "strong-buy" rating and raising their price target to $57.00.
• MGM reported a quarterly earnings per share of $0.79, exceeding estimates by $0.21, with revenue climbing to $4.40 billion for the quarter.

MGM Resorts International (NYSE:MGM - Get Free Report) had its target price increased by equities research analysts at Morgan Stanley from $41.00 to $43.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage presently has an "equal weight" rating on the stock. Morgan Stanley's price target suggests a potential upside of 22.32% from the stock's current price.

Several other equities analysts have also issued reports on MGM. Stifel Nicolaus lifted their price objective on shares of MGM Resorts International from $48.00 to $50.00 and gave the company a "buy" rating in a report on Thursday, July 31st. Wall Street Zen raised shares of MGM Resorts International from a "sell" rating to a "hold" rating in a report on Thursday, May 22nd. JMP Securities reissued a "market perform" rating on shares of MGM Resorts International in a report on Thursday, June 26th. Mizuho cut their price objective on shares of MGM Resorts International from $59.00 to $58.00 and set an "outperform" rating on the stock in a report on Thursday, July 31st. Finally, JPMorgan Chase & Co. assumed coverage on shares of MGM Resorts International in a report on Monday, June 23rd. They set a "neutral" rating and a $38.00 price objective on the stock. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $48.67.

MGM Resorts International Price Performance

Shares of MGM traded down $0.49 during midday trading on Thursday, hitting $35.16. 2,164,949 shares of the company traded hands, compared to its average volume of 5,227,119. The firm has a 50 day moving average of $37.04 and a 200-day moving average of $33.72. MGM Resorts International has a 52 week low of $25.30 and a 52 week high of $42.53. The stock has a market cap of $9.57 billion, a price-to-earnings ratio of 19.32, a PEG ratio of 1.46 and a beta of 1.69. 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 announced 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. MGM Resorts International had a net margin of 3.13% and a return on equity of 19.39%. The firm had revenue of $4.40 billion during the quarter, compared to the consensus estimate of $4.28 billion. During the same quarter last year, the firm earned $0.86 EPS. The firm's revenue for the quarter was up 1.8% compared to the same quarter last year. On average, analysts forecast that MGM Resorts International will post 2.21 EPS for the current fiscal year.

Insiders Place Their Bets

In other MGM Resorts International news, Director Keith A. Meister sold 242,000 shares of the company's stock in a transaction dated Thursday, September 11th. The shares were sold at an average price of $35.42, for a total value of $8,571,640.00. Following the completion of the transaction, the director owned 5,385,478 shares in the company, valued at approximately $190,753,630.76. This represents a 4.30% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider John Mcmanus sold 60,000 shares of the company's stock in a transaction dated 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 of the company's stock, valued at approximately $1,138,538.52. This trade represents a 65.56% decrease in their position. The disclosure for this sale can be found here. Insiders own 3.06% of the company's stock.

Institutional Trading of MGM Resorts International

Large investors have recently bought and sold shares of the business. CYBER HORNET ETFs LLC purchased a new stake in MGM Resorts International during the 2nd quarter valued at about $25,000. Mascagni Wealth Management Inc. purchased a new position in shares of MGM Resorts International in the 4th quarter valued at $28,000. Golden State Wealth Management LLC grew its position in shares of MGM Resorts International by 83.5% in the 1st quarter. Golden State Wealth Management LLC now owns 1,000 shares of the company's stock valued at $30,000 after buying an additional 455 shares during the last quarter. CX Institutional purchased a new position in MGM Resorts International during the 1st quarter worth $36,000. Finally, Bayforest Capital Ltd purchased a new stake in shares of MGM Resorts International in the first quarter valued at about $43,000. Hedge funds and other institutional investors own 68.11% of the company's stock.

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.