Truist Financial Issues Pessimistic Forecast for MGM Resorts International (NYSE:MGM) Stock Price

Key Points

• Truist Financial has decreased its target price for MGM Resorts International from $50.00 to $48.00 while maintaining a "buy" rating, indicating a potential upside of 47.54%.
• Analysts have shown mixed opinions on MGM, with UBS cutting its target from $44.00 to $39.00 and Citigroup upgrading the stock to a "strong-buy" with a new target of $57.00.
• MGM Resorts has reported strong earnings, exceeding analyst expectations with a 12-month revenue increase of 1.8% and a return on equity of 19.39%.

MGM Resorts International (NYSE:MGM - Get Free Report) had its target price decreased by Truist Financial from $50.00 to $48.00 in a research note issued on Tuesday,Benzinga reports. The firm currently has a "buy" rating on the stock. Truist Financial's target price indicates a potential upside of 47.54% from the stock's previous close.

A number of other analysts have also weighed in on the stock. UBS Group cut their price objective on shares of MGM Resorts International from $44.00 to $39.00 and set a "neutral" rating on the stock in a research note on Thursday, September 11th. Stifel Nicolaus increased their price target on MGM Resorts International from $48.00 to $50.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. JMP Securities restated a "market perform" rating on shares of MGM Resorts International in a research note on Thursday, June 26th. JPMorgan Chase & Co. dropped their price target on shares of MGM Resorts International from $43.00 to $41.00 and set a "neutral" rating on the stock in a research report on Thursday, October 16th. Finally, Citigroup upgraded MGM Resorts International from a "hold" rating to a "strong-buy" rating and boosted their price objective for the company from $55.00 to $57.00 in a research report on Wednesday, July 9th. One 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. Based on data from MarketBeat.com, MGM Resorts International currently has a consensus rating of "Moderate Buy" and a consensus target price of $48.67.

MGM Resorts International Stock Performance

Shares of NYSE MGM traded up $0.66 during mid-day trading on Tuesday, hitting $32.53. The stock had a trading volume of 747,638 shares, compared to its average volume of 5,167,890. The company has a 50 day moving average of $35.45 and a two-hundred day moving average of $34.16. MGM Resorts International has a twelve month low of $25.30 and a twelve month high of $42.53. The company has a debt-to-equity ratio of 1.67, a quick ratio of 1.18 and a current ratio of 1.22. The firm has a market cap of $8.86 billion, a PE ratio of 17.87, a PEG ratio of 1.30 and a beta 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 EPS for the quarter, topping analysts' consensus estimates 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 during the quarter, compared to the consensus estimate of $4.28 billion. During the same quarter in the previous year, the company posted $0.86 earnings per share. The company's revenue was up 1.8% compared to the same quarter last year. Research analysts predict that MGM Resorts International will post 2.21 EPS for the current fiscal year.

Insider Activity at MGM Resorts International

In other MGM Resorts International news, Director Keith A. Meister sold 242,000 shares of the firm's stock in a transaction on Thursday, September 11th. The stock was sold at an average price of $35.42, for a total value of $8,571,640.00. Following the sale, the director directly owned 5,385,478 shares in the company, valued at $190,753,630.76. This trade represents a 4.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 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 value of $2,167,200.00. Following the transaction, the insider directly owned 31,521 shares of the company's stock, valued at approximately $1,138,538.52. This represents a 65.56% decrease in their ownership of the stock. The disclosure for this sale can be found here. 3.06% of the stock is owned by corporate insiders.

Institutional Trading of MGM Resorts International

Several institutional investors have recently modified their holdings of the stock. Vontobel Holding Ltd. grew its position in shares of MGM Resorts International by 74.6% in the 1st quarter. Vontobel Holding Ltd. now owns 21,778 shares of the company's stock valued at $646,000 after buying an additional 9,304 shares during the last quarter. Wealth Enhancement Advisory Services LLC grew its position in shares of MGM Resorts International by 60.3% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 61,748 shares of the company's stock worth $1,830,000 after acquiring an additional 23,234 shares during the last quarter. Achmea Investment Management B.V. increased its stake in MGM Resorts International by 46.3% in the first quarter. Achmea Investment Management B.V. now owns 35,227 shares of the company's stock valued at $1,045,000 after purchasing an additional 11,152 shares during the period. Key Colony Management LLC grew its holdings in shares of MGM Resorts International by 9.8% during the second quarter. Key Colony Management LLC now owns 615,000 shares of the company's stock worth $21,150,000 after buying an additional 55,000 shares during the last quarter. Finally, D.A. Davidson & CO. raised its stake in MGM Resorts International by 3.7% during the 1st quarter. D.A. Davidson & CO. now owns 303,470 shares of the company's stock valued at $8,995,000 after acquiring an additional 10,690 shares during the last quarter. Hedge funds and other institutional investors 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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