JPMorgan Chase & Co. Begins Coverage on MGM Resorts International (NYSE:MGM)

JPMorgan Chase & Co. began coverage on shares of MGM Resorts International (NYSE:MGM) in a report published on Monday morning, Marketbeat.com reports. The brokerage issued a neutral rating and a $38.00 price objective on the stock.

Several other brokerages also recently issued reports on MGM. JMP Securities cut their price target on MGM Resorts International from $50.00 to $45.00 and set a “market outperform” rating for the company in a report on Thursday, April 17th. Morgan Stanley cut their price target on MGM Resorts International from $37.00 to $36.00 and set an “equal weight” rating for the company in a report on Wednesday, April 16th. Barclays increased their price objective on MGM Resorts International from $41.00 to $43.00 and gave the stock an “overweight” rating in a research report on Thursday, May 1st. Macquarie lowered their price objective on MGM Resorts International from $50.00 to $48.00 and set an “outperform” rating on the stock in a research report on Friday, May 2nd. Finally, Truist Financial lowered their price objective on MGM Resorts International from $50.00 to $45.00 and set a “buy” rating on the stock in a research report on Wednesday, April 23rd. Six research analysts have rated the stock with a hold rating and sixteen have given a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $48.29.

MGM Resorts International Trading Down 0.9%

Shares of MGM Resorts International stock opened at $33.90 on Monday. The business has a fifty day simple moving average of $32.29 and a two-hundred day simple moving average of $32.88. MGM Resorts International has a 1 year low of $25.30 and a 1 year high of $47.26. The company has a market capitalization of $9.23 billion, a price-to-earnings ratio of 15.13, a P/E/G ratio of 2.36 and a beta of 1.76. The company has a debt-to-equity ratio of 1.79, a current ratio of 1.31 and a quick ratio of 1.26.

MGM Resorts International (NYSE:MGM) last announced its quarterly earnings results on Wednesday, April 30th. The company reported $0.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.50 by $0.19. MGM Resorts International had a return on equity of 20.64% and a net margin of 3.95%. The business had revenue of $4.28 billion during the quarter, compared to the consensus estimate of $4.29 billion. During the same quarter last year, the firm posted $0.74 EPS. The company’s quarterly revenue was down 2.4% on a year-over-year basis. Research analysts forecast that MGM Resorts International will post 2.21 EPS for the current year.

MGM Resorts International declared that its board has approved a share buyback plan on Wednesday, April 30th that authorizes the company to repurchase $2.00 billion in shares. This repurchase authorization authorizes the company to buy up to 22.4% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Activity at MGM Resorts International

In related news, Director Daniel J. Taylor sold 5,261 shares of the business’s stock in a transaction dated Tuesday, May 13th. The stock was sold at an average price of $34.93, for a total value of $183,766.73. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Keith A. Meister sold 60,000 shares of MGM Resorts International stock in a transaction dated Friday, June 13th. The shares were sold at an average price of $32.09, for a total value of $1,925,400.00. Following the completion of the transaction, the director now owns 5,627,478 shares in the company, valued at approximately $180,585,769.02. This represents a 1.05% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 105,261 shares of company stock valued at $3,486,367 over the last quarter. 3.06% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of MGM. Norges Bank bought a new position in MGM Resorts International in the fourth quarter valued at about $88,033,000. Eminence Capital LP bought a new position in MGM Resorts International in the fourth quarter valued at about $72,408,000. Helikon Investments Ltd bought a new position in MGM Resorts International in the first quarter valued at about $54,418,000. Fuller & Thaler Asset Management Inc. bought a new position in MGM Resorts International in the first quarter valued at about $47,631,000. Finally, AQR Capital Management LLC grew its position in MGM Resorts International by 104.2% in the first quarter. AQR Capital Management LLC now owns 2,611,278 shares of the company’s stock valued at $75,962,000 after acquiring an additional 1,332,313 shares during the last quarter. 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.