MGM Resorts International’s Stock Price Plummets to $37.29, Suffering a Hefty 13.22% Decrease

MGM Resorts International (MGM)

37.29 USD -5.68 (-13.22%) Volume: 20.1M

MGM Resorts International’s stock price is currently valued at 37.29 USD, experiencing a significant drop of -13.22% this trading session with a trading volume of 20.1M shares. The stock’s performance has been on a downward trend with a -16.54% change YTD, reflecting investor’s uncertainty in the market.

Latest developments on MGM Resorts International

MGM Resorts International stock price movements today are influenced by a mix of factors. Despite an earnings beat, the stock is tumbling as changes loom for MGM Rewards members and the company reports record second-quarter net revenue of $4.3 billion. Luxury and group travel in Las Vegas drove gains, while a strategic SWOT insight decodes the company’s strengths and weaknesses. Traders are purchasing large volumes of call options, and the CEO remains optimistic about the digital future. With a rebound in Macau business and a strong belief in BetMGM, MGM Resorts International continues to navigate the market with a focus on long-term profitability.

MGM Resorts International on Smartkarma

Analyst coverage on MGM Resorts International by Baptista Research on Smartkarma highlights the company’s strong financial performance in Q1 2024. With net revenues reaching $4.4 billion, a 13% increase from the previous year, and a net income of $217 million, the company demonstrated significant growth. The diversified business model, including Las Vegas operations, regional properties, MGM China, and the digital segment, contributed to this record-breaking quarter.

Furthermore, Baptista Research‘s analysis of MGM Resorts International‘s Q4 and full 2023 year earnings conference call indicates a positive outcome, especially in Las Vegas and MGM China. CEO Bill Hornbuckle noted an all-time high in adjusted property EBITDAR for both regions, with 7 domestic properties setting records for the same metric. The expansion in property locations to the UAE is expected to be a game-changer for the company, with potential major drivers for future growth and success.

A look at MGM Resorts International Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

According to Smartkarma Smart Scores, MGM Resorts International has a mixed outlook for the long term. While the company scores well in terms of growth potential, with a score of 4 out of 5, it lags behind in resilience and dividend payouts, scoring 2 and 1 respectively. This suggests that while MGM Resorts International may have strong growth prospects, investors should be cautious of its ability to weather economic downturns and its dividend yield.

Overall, MGM Resorts International receives an average score of 3 out of 5, indicating a moderate outlook. The company’s strengths lie in its growth potential, with a score of 4, and its value, with a score of 3. However, its lower scores in resilience and dividend payouts may be cause for concern for some investors. As a company that operates gaming, hospitality, and entertainment resorts in various locations, including Nevada, Mississippi, Michigan, and Macau, MGM Resorts International offers a diverse portfolio of properties and services in the hospitality industry.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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