Stifel Nicolaus Raises MGM Resorts International (NYSE:MGM) Price Target to $50.00

Key Points

• Stifel Nicolaus raised its price target for MGM Resorts International from $48.00 to $50.00, indicating a potential upside of 37.99% from the current price, while maintaining a "buy" rating.
• In addition to Stifel Nicolaus, other analysts have varied ratings for MGM, with Susquehanna increasing their price target to $60.00 and Macquarie lowering theirs to $48.00 respectively.
• MGM Resorts recently reported earnings of $0.79 per share, surpassing estimates and showing a revenue increase of 1.8% year-over-year, contributing to their moderate buy rating from analysts.

MGM Resorts International (NYSE:MGM - Get Free Report) had its price objective increased by analysts at Stifel Nicolaus from $48.00 to $50.00 in a research report issued on Thursday,Benzinga reports. The firm currently has a "buy" rating on the stock. Stifel Nicolaus' price target points to a potential upside of 37.99% from the stock's current price.

Other equities analysts have also recently issued research reports about the stock. Susquehanna raised their price target on shares of MGM Resorts International from $50.00 to $60.00 and gave the company a "positive" rating in a research report on Tuesday. Seaport Res Ptn cut shares of MGM Resorts International from a "strong-buy" rating to a "hold" rating in a research report on Monday, July 21st. Macquarie dropped their price objective on shares of MGM Resorts International from $50.00 to $48.00 and set an "outperform" rating on the stock in a research note on Friday, May 2nd. Wall Street Zen upgraded shares of MGM Resorts International from a "sell" rating to a "hold" rating in a research note on Thursday, May 22nd. Finally, Citigroup upgraded shares of MGM Resorts International from a "hold" rating to a "strong-buy" rating and boosted their price target for the stock from $55.00 to $57.00 in a research note on Wednesday, July 9th. Two equities research analysts have rated the stock with a sell rating, eight have given a hold rating, fourteen have given a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, MGM Resorts International currently has an average rating of "Moderate Buy" and a consensus price target of $48.67.

MGM Resorts International Trading Down 4.3%

Shares of NYSE MGM traded down $1.65 during midday trading on Thursday, reaching $36.24. 5,961,727 shares of the stock were exchanged, compared to its average volume of 5,426,389. The company has a 50 day simple moving average of $34.81 and a 200 day simple moving average of $33.32. The stock has a market capitalization of $9.86 billion, a P/E ratio of 16.23, a PEG ratio of 2.42 and a beta of 1.76. The company has a debt-to-equity ratio of 1.79, a quick ratio of 1.26 and a current ratio of 1.31. MGM Resorts International has a twelve month low of $25.30 and a twelve month high of $43.99.

MGM Resorts International (NYSE:MGM - Get Free Report) last posted its 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. MGM Resorts International had a net margin of 3.95% and a return on equity of 20.64%. 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% on a year-over-year basis. As a group, equities analysts expect 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 approved a stock repurchase program on Wednesday, April 30th that authorizes the company to buyback $2.00 billion in shares. This buyback authorization authorizes the company to buy up to 22.4% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's board believes its stock is undervalued.

Insider Buying and Selling

In other news, COO Corey Ian Sanders sold 40,000 shares of the stock in a transaction on Monday, May 12th. The shares were sold at an average price of $34.43, for a total value of $1,377,200.00. Following the completion of the sale, the chief operating officer owned 281,530 shares of the company's stock, valued at $9,693,077.90. This represents a 12.44% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Keith A. Meister sold 60,000 shares of the stock in a transaction on Friday, June 13th. The stock was sold at an average price of $32.09, for a total transaction of $1,925,400.00. Following the completion of the sale, the director directly owned 5,627,478 shares of the company's stock, valued at $180,585,769.02. The trade was a 1.05% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 105,261 shares of company stock valued at $3,486,367. Insiders own 3.06% of the company's stock.

Institutional Investors Weigh In On MGM Resorts International

Large investors have recently made changes to their positions in the business. American Century Companies Inc. grew its holdings in MGM Resorts International by 1.9% during the 4th quarter. American Century Companies Inc. now owns 38,941 shares of the company's stock valued at $1,349,000 after purchasing an additional 708 shares in the last quarter. Norges Bank bought a new position in shares of MGM Resorts International in the 4th quarter worth about $88,033,000. Nomura Asset Management Co. Ltd. lifted its position in shares of MGM Resorts International by 1.2% in the 4th quarter. Nomura Asset Management Co. Ltd. now owns 73,758 shares of the company's stock worth $2,556,000 after buying an additional 909 shares during the last quarter. Pictet Asset Management Holding SA increased its holdings in shares of MGM Resorts International by 6.9% in the 4th quarter. Pictet Asset Management Holding SA now owns 105,765 shares of the company's stock worth $3,665,000 after acquiring an additional 6,847 shares during the period. Finally, Allstate Corp acquired a new stake in shares of MGM Resorts International in the 4th quarter worth about $223,000. Institutional investors and hedge funds own 68.11% of the company's stock.

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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