MGM Resorts International (NYSE:MGM) Reaches New 12-Month Low – Here’s Why

MGM Resorts International (NYSE:MGM) reached a new 52-week low during trading on Monday . The company traded as low as $28.63 and last traded at $29.25, with a volume of 738686 shares trading hands. The stock had previously closed at $30.36.

Analysts Set New Price Targets

MGM has been the subject of several recent research reports. Mizuho increased their target price on shares of MGM Resorts International from $56.00 to $60.00 and gave the stock an “outperform” rating in a research note on Thursday, February 13th. Leerink Partners downgraded MGM Resorts International to a “market perform” rating in a research note on Thursday, February 13th. Stifel Nicolaus upped their price target on MGM Resorts International from $47.00 to $50.00 and gave the stock a “buy” rating in a research note on Thursday, February 13th. Capital One Financial lifted their price objective on shares of MGM Resorts International from $52.00 to $56.00 and gave the company an “overweight” rating in a research report on Wednesday, February 12th. Finally, Truist Financial cut their price objective on shares of MGM Resorts International from $54.00 to $50.00 and set a “buy” rating for the company in a research report on Tuesday, January 14th. Six investment analysts have rated the stock with a hold rating and sixteen have assigned a buy rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $51.29.

MGM Resorts International Stock Performance

The firm has a fifty day moving average of $33.77 and a 200-day moving average of $35.85. The company has a quick ratio of 1.26, a current ratio of 1.30 and a debt-to-equity ratio of 1.73. The stock has a market capitalization of $8.55 billion, a price-to-earnings ratio of 12.47, a PEG ratio of 0.98 and a beta of 2.18.

MGM Resorts International (NYSE:MGM) last released its quarterly earnings results on Wednesday, February 12th. The company reported $0.45 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.37 by $0.08. MGM Resorts International had a return on equity of 21.08% and a net margin of 4.33%. As a group, sell-side analysts anticipate that MGM Resorts International will post 2.21 EPS for the current year.

Insider Activity

In related news, CFO Jonathan S. Halkyard acquired 10,000 shares of MGM Resorts International stock in a transaction dated Thursday, March 6th. The shares were acquired at an average cost of $32.17 per share, for a total transaction of $321,700.00. Following the completion of the transaction, the chief financial officer now directly owns 75,648 shares of the company’s stock, valued at $2,433,596.16. The trade was a 15.23 % increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CAO Todd Meinert sold 6,000 shares of the stock in a transaction on Wednesday, February 19th. The shares were sold at an average price of $37.84, for a total value of $227,040.00. Following the sale, the chief accounting officer now directly owns 18,301 shares in the company, valued at approximately $692,509.84. The trade was a 24.69 % decrease in their position. The disclosure for this sale can be found here. Company insiders own 2.13% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in MGM. Norges Bank acquired a new position in shares of MGM Resorts International in the fourth quarter valued at approximately $88,033,000. HG Vora Capital Management LLC acquired a new position in MGM Resorts International in the 3rd quarter valued at $97,725,000. Eminence Capital LP purchased a new position in shares of MGM Resorts International during the 4th quarter worth $72,408,000. AQR Capital Management LLC boosted its holdings in shares of MGM Resorts International by 12,726.8% during the fourth quarter. AQR Capital Management LLC now owns 1,278,965 shares of the company’s stock worth $44,316,000 after purchasing an additional 1,268,994 shares during the last quarter. Finally, Marshall Wace LLP grew its position in shares of MGM Resorts International by 50.9% in the fourth quarter. Marshall Wace LLP now owns 3,233,718 shares of the company’s stock valued at $112,048,000 after purchasing an additional 1,090,533 shares during the period. 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.