MGM Resorts International (NYSE:MGM) Lowered to “Strong Sell” Rating by Zacks Research

Zacks Research cut shares of MGM Resorts International (NYSE:MGM) from a hold rating to a strong sell rating in a research note issued to investors on Tuesday,Zacks.com reports.

Other analysts also recently issued research reports about the company. Stifel Nicolaus set a $45.00 target price on MGM Resorts International in a research report on Thursday, October 30th. Macquarie lowered their price target on MGM Resorts International from $48.00 to $46.00 and set an “outperform” rating on the stock in a research report on Thursday, October 2nd. Citigroup lowered their price target on MGM Resorts International from $51.00 to $47.50 and set a “buy” rating on the stock in a research report on Thursday, October 30th. Mizuho set a $62.00 price objective on shares of MGM Resorts International in a research report on Thursday, October 30th. Finally, Deutsche Bank Aktiengesellschaft reduced their price objective on shares of MGM Resorts International from $54.00 to $53.00 in a research report on Monday, September 22nd. Fourteen analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $47.58.

MGM Resorts International Price Performance

NYSE:MGM opened at $31.99 on Tuesday. 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 stock’s 50-day simple moving average is $34.30 and its 200 day simple moving average is $34.47. The company has a market cap of $8.75 billion, a P/E ratio of 199.94, a P/E/G ratio of 1.40 and a beta of 1.67. MGM Resorts International has a 52-week low of $25.30 and a 52-week high of $41.32.

MGM Resorts International (NYSE:MGM) last released its earnings results on Wednesday, October 29th. The company reported $0.24 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.37 by ($0.13). The company had revenue of $4.25 billion during the quarter, compared to analyst estimates of $4.24 billion. MGM Resorts International had a net margin of 0.40% and a return on equity of 16.95%. MGM Resorts International’s revenue was up 1.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.54 EPS. As a group, sell-side analysts forecast that MGM Resorts International will post 2.21 EPS for the current fiscal year.

Insider Activity at MGM Resorts International

In related news, insider John Mcmanus sold 60,000 shares of the business’s stock in a transaction that occurred on 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 completion of the sale, the insider directly owned 31,521 shares in the company, valued at approximately $1,138,538.52. The trade was a 65.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Keith A. Meister sold 242,000 shares of the business’s stock in a transaction that occurred on Thursday, September 11th. The shares were sold at an average price of $35.42, for a total value of $8,571,640.00. Following the completion of the sale, the director owned 5,385,478 shares of the company’s stock, valued at approximately $190,753,630.76. This trade represents a 4.30% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 3.06% of the company’s stock.

Institutional Investors Weigh In On MGM Resorts International

Several institutional investors have recently made changes to their positions in the stock. Davis Selected Advisers boosted its stake in shares of MGM Resorts International by 14.4% in the second quarter. Davis Selected Advisers now owns 23,821,109 shares of the company’s stock valued at $819,208,000 after buying an additional 3,006,052 shares during the period. Helikon Investments Ltd lifted its stake in MGM Resorts International by 379.9% during the second quarter. Helikon Investments Ltd now owns 8,810,322 shares of the company’s stock worth $302,987,000 after purchasing an additional 6,974,347 shares during the last quarter. Invesco Ltd. lifted its stake in MGM Resorts International by 7.7% during the first quarter. Invesco Ltd. now owns 6,233,213 shares of the company’s stock worth $184,752,000 after purchasing an additional 447,870 shares during the last quarter. Goldentree Asset Management LP lifted its stake in MGM Resorts International by 20.7% during the second quarter. Goldentree Asset Management LP now owns 5,402,092 shares of the company’s stock worth $185,778,000 after purchasing an additional 924,810 shares during the last quarter. Finally, Kingstone Capital Partners Texas LLC bought a new stake in MGM Resorts International during the second quarter worth $171,632,000. 68.11% of the stock is currently owned by institutional investors.

About MGM Resorts International

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.