BTIG Research has recently reduced MGM Resorts International (MGM) stock to Neutral rating, as announced on February 3, 2025, according to Finviz. Earlier, on July 3, 2024, BTIG Research had initiated the stock to Buy, setting a price target of $52. Susquehanna also raised Positive rating with a price target of $54. Additionally, Seaport Research Partners initiated Buy rating on April 15, 2024, with a target price of $56. Mizuho analysts, in their report published on March 26, 2024, also initiated Buy rating and set a price target of $61 for MGM Resorts International’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
MGM Resorts International (MGM) Stock Trading Recap
On Monday, MGM Resorts International (MGM) stock saw a decline, ending the day at $34.15 which represents a decrease of $-0.33 or -0.96% from the prior close of $34.48. The stock opened at $32.76 and touched a low of $32.67 during the day, reaching a high of $34.53. The volume of shares traded was 5.52 million exceeding the average volume of 4.13 million.
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MGM Stock Performance and Moving Averages
In recent trading, MGM Resorts International (MGM) stock price has shown some volatility, fluctuating 1.76% over the last five trades and -1.44% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -8.42%, and it has plunged by -17.53% in the previous three months. Currently, MGM is trading at 2.45%, -2.55%, and -11.77% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, MGM, a Consumer Cyclical sector stock, is trading -29.22% below its 52-week high but remains 8.04% above its 52-week low. The Average True Range (ATR) (14 days) of 0.93 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
MGM Resorts International’s Profitability and Valuation Ratios
MGM Resorts International’s profitability metrics reveal financial health. The company currently boasts an operating margin of 10.02% and a profit margin of 5.23%, with a gross margin of -8.42%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, MGM Resorts International’s market capitalization stands at $10.17 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 12.21, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 15.22. Additionally, the Price-to-Sales Ratio is 0.59, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 3.14, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 22.76% of MGM Resorts International (MGM)’s shares, while financial institutions hold 68.92%.
Notable insider trades include Meister Keith A., Director at MGM Resorts International (MGM), who sold 51000 shares on Dec 13 ’24, at $36.57 each, totaling $1.87 million. On Sep 13 ’24, Meister Keith A., Director, sold 121000 shares for $36.72 each, amounting to $4.44 million. Additionally, on Jun 13 ’24, Meister Keith A. sold 139300 shares at $40.44 each, generating $5.63 million.