Stifel Nicolaus Has Lowered Expectations for MGM Resorts International (NYSE:MGM) Stock Price

Key Points

• Stifel Nicolaus has reduced its price target for MGM Resorts International from $50.00 to $47.00, while maintaining a "buy" rating, indicating a 42.73% upside potential from the current stock price.
• JPMorgan Chase & Co. and other firms have also adjusted their price targets for MGM, with estimates ranging from $41.00 to $60.00, reflecting varied analyst opinions on the stock.
• MGM Resorts reported strong earnings, surpassing estimates with $0.79 earnings per share and revenue of $4.40 billion, a 1.8% increase year-over-year.

MGM Resorts International (NYSE:MGM - Get Free Report) had its price objective dropped by Stifel Nicolaus from $50.00 to $47.00 in a research report issued on Wednesday,Benzinga reports. The firm currently has a "buy" rating on the stock. Stifel Nicolaus' price target indicates a potential upside of 42.73% from the stock's current price.

Several other research firms have also weighed in on MGM. JPMorgan Chase & Co. reduced their price objective on MGM Resorts International from $43.00 to $41.00 and set a "neutral" rating on the stock in a research note on Thursday, October 16th. Morgan Stanley lifted their price objective on MGM Resorts International from $41.00 to $43.00 and gave the company an "equal weight" rating in a research note on Thursday, September 11th. Barclays lifted their price objective on MGM Resorts International from $43.00 to $44.00 and gave the company an "overweight" rating in a research note on Friday, July 18th. Susquehanna lifted their price objective on MGM Resorts International from $50.00 to $60.00 and gave the company a "positive" rating in a research note on Tuesday, July 29th. Finally, Citigroup raised MGM Resorts International from a "hold" rating to a "strong-buy" rating and lifted their price objective for the company from $55.00 to $57.00 in a research note on Wednesday, July 9th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, eight have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $48.50.

MGM Resorts International Stock Performance

NYSE MGM opened at $32.93 on Wednesday. The business's 50-day moving average price is $35.40 and its 200 day moving average price is $34.15. MGM Resorts International has a twelve month low of $25.30 and a twelve month high of $42.53. The company has a market capitalization of $8.96 billion, a PE ratio of 18.09, a price-to-earnings-growth ratio of 1.33 and a beta of 1.67. The company has a current ratio of 1.22, a quick ratio of 1.18 and a debt-to-equity ratio of 1.67.

MGM Resorts International (NYSE:MGM - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported $0.79 earnings per share for the quarter, topping the consensus estimate of $0.58 by $0.21. MGM Resorts International had a return on equity of 19.39% and a net margin of 3.13%.The firm had revenue of $4.40 billion for the quarter, compared to the consensus estimate of $4.28 billion. During the same period in the prior year, the business posted $0.86 earnings per share. The firm's revenue for the quarter was up 1.8% compared to the same quarter last year. On average, research analysts predict that MGM Resorts International will post 2.21 earnings per share for the current year.

Insider Activity

In related news, insider John Mcmanus sold 60,000 shares of the firm'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 sale, the insider directly owned 31,521 shares in the company, valued at approximately $1,138,538.52. This trade represents a 65.56% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Keith A. Meister sold 242,000 shares of the firm'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 sale, the director owned 5,385,478 shares in the company, valued at approximately $190,753,630.76. The trade was a 4.30% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 3.06% of the company's stock.

Institutional Investors Weigh In On MGM Resorts International

Several hedge funds have recently modified their holdings of MGM. CYBER HORNET ETFs LLC purchased a new stake in MGM Resorts International during the 2nd quarter worth approximately $25,000. Mendota Financial Group LLC purchased a new stake in MGM Resorts International during the 3rd quarter worth approximately $27,000. Mather Group LLC. purchased a new stake in MGM Resorts International during the 3rd quarter worth approximately $33,000. Golden State Wealth Management LLC increased its holdings in 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 worth $30,000 after purchasing an additional 455 shares during the last quarter. Finally, Employees Retirement System of Texas purchased a new stake in MGM Resorts International during the 2nd quarter worth approximately $45,000. 68.11% of the stock is currently owned by hedge funds and other institutional investors.

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.

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