MGM Resorts International (NYSE:MGM) finished Thursday with a subtraction of -$0.69 to close at $42.40, a downside of -1.60 percent. An average of 5,519,200 shares of common stock have been traded in the last five days. There was a fall of -$0.15 in the past week, and it reached a new high 31 times over the past 12 months. The last 20 days have seen an average of 5,231,305 shares traded, while the 50-day average volume stands at 4,565,774.
MGM stock has decreased by -15.49% in the last month. The company shares reached their 1-month lowest point of $41.98 on 08/18/23. With the stock rallying to its 52-week high on 07/31/23, shares of the company touched a low of $29.20 and a high of $51.35 in 52 weeks. It has reached a new high 29 times so far this year and achieved 26.45% or $8.87 in price. In spite of this, the price is down -17.43% from the 52-week high.
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Insider Transactions
MGM stock investors should be aware that MGM Resorts International (MGM) stock had its last reported insider trading activity 15 days ago on Aug 10. In this transaction, the insider spent $465,914. CHIEF OPERATING OFFICER, SANDERS COREY IAN, disposed of 25,000 shares at a price of $45.21 on Aug 07. The insider now owns more than $1,130,300 worth of shares. Prior to that, CHIEF LEGAL ADMIN OFC AND SECY McManus John went on to Sale 10,000 shares at $45.22 each on Aug 07. An amount of $452,248 was transacted.
Valuation Metrics
MGM Resorts International (MGM) has a trailing price-to-earnings (P/E) ratio of 41.25. The stock’s beta is 2.11. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 1.00, the price-to-book (PB) ratio at 3.47, and the price-to-cash flow ratio at 12.20.
The company has a payout ratio of 0.50%. The company’s most recent quarterly dividend payment was $0.0025 a share, without any change from last year. Its latest increase dividend $0.0005 reported on Wednesday August 4 2021.
Financial Health
The quick ratio of MGM Resorts International for the three months ended June 29 was 2.00, and the current ratio was 2.00, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 1.53 and a total debt to equity ratio of 1.55 for the quarter ending June 29. MGM Resorts International’s EBITDA margin for the year ending June 29 is 16.79%, while its operating margin for the same period stands at 0.40%. Its gross profit as reported stood at $6.47 billion compared to revenue of $13.13 billion.
Earnings Surprise
For the three-month period that ended June 29, MGM Resorts International had $6.67 billion in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $200.8 million in the quarter, while revenues of $466.81 million were shrunk -788.42%. The analyst consensus anticipated MGM Resorts International’s latest quarter earnings to come in at $0.54 per share, but it turned out to be $0.59, a 9.30% surprise. For the quarter, EBITDA amounted to $581.63 million. Shareholders own equity worth $350.89 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at MGM Resorts International (MGM) price momentum. RSI 9-day as of the close on 24 August was 28.93%, suggesting the stock is oversold, with historical volatility in this time frame at 21.00%.
As of today, MGM’s price is $42.59 -0.35% or -$0.15 from its 5-day moving average. MGM is currently trading -15.35% lower than its 20-day SMA and -4.55% lower than its 100-day SMA. However, the stock’s current price level is -4.14% below the SMA50 and +25.30% above the SMA200.
The stochastic %K and %D were 13.14% and 10.63%, respectively, and the average true range (ATR) was 1.19. With the 14-day stochastic at 7.98% and the average true range at 1.22, the RSI (14) stands at 34.17%. The stock has reached -0.52 on the 9-day MACD Oscillator while the 14-day reading was at -1.49.
Analyst Ratings
Morgan Stanley reiterated its an Equal-weight rating on MGM Resorts International (NYSE: MGM), but raised their price target to $47, indicating a potential price increase of 9.79% for the stock. The consensus rating for MGM Resorts International (MGM) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell MGM, while 4 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 2 analysts, while 11 others rate it as a “buy”.
What is MGM’s price target for the next 12 months?
Analysts predict a range of price targets between $46.00 and $69.00, with a median target of $59.50. Taking a look at these predictions, the average price target given by analysts for MGM Resorts International (MGM) stock is $57.68.
