MGM Resorts International (NYSE: MGM) stock jumped 0.27% on Thursday to $41.58 against a previous-day closing price of $41.47. With 5.67 million shares changed hands, the volume of the stock remained heavier than its average volume of 4.44 million shares. During the session, the Resorts & Casinos company that operates in wider Consumer Cyclical sector, reached to the highest price of $41.99 whereas the lowest price it dropped to was $41.17. The 52-week range on MGM shows that it touched its highest point at $51.35 and its lowest point at $29.20 during that stretch. It currently has a 1-year price target of $57.45. With its current market cap of 14.48 billion, MGM has annualized dividend of $0.01 while the current yield stands at 0.02%. Beta for the stock currently stands at 2.11.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of MGM was down-trending over the past week, with a drop of -4.19%, but this was down by -5.89% over a month. Three-month performance dropped to -5.16% while six-month performance rose 1.32%. The stock gained 22.76% in the past year, while it has gained 24.01% so far this year. A look at the trailing 12-month EPS for MGM yields 1.03 with Next year EPS estimates of 2.58. For the next quarter, that number is 0.67. This implies an EPS growth rate of 44.60% for this year and 5.57% for next year.
Float and Shares Shorts:
At present, 361.05 million MGM shares are outstanding with a float of 283.96 million shares on hand for trading. On Aug 30, 2023, short shares totaled 11.76 million, which was 3.35% higher than short shares on Jul 30, 2023. In addition to Mr. William Joseph Hornbuckle IV as the firm’s Pres, CEO & Director, Mr. Jonathan S. Halkyard serves as its CFO & Treasurer.
Through their ownership of 68.48% of MGM’s outstanding shares, institutional investors have majority control over the company.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, MGM reported revenue of $3.26B and operating income of $139.89M. The EBITDA in the recently reported quarter was $401.14M and diluted EPS was $4.20.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for MGM since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With MGM analysts setting a high price target of $69.00 and a low target of $45.00, the average target price over the next 12 months is $57.74. Based on these targets, MGM could surge 65.95% to reach the target high and rise by 8.23% to reach the target low. Reaching the average price target will result in a growth of 38.86% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded MGM stock several times over the past three months with 10 Buys and 14 Sells. In these transactions, 590,305 shares were bought while 281,395 shares were sold. The number of buy transactions has increased to 42 while that of sell transactions has risen to 59 over the past year. The total number of shares bought during that period was 889,932 while 1,117,715 shares were sold.