Logo image of MGM

MGM RESORTS INTERNATIONAL (MGM) Stock Fundamental Analysis

NYSE:MGM - New York Stock Exchange, Inc. - US5529531015 - Common Stock - Currency: USD

32.125  +0.16 (+0.48%)

Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to MGM. MGM was compared to 136 industry peers in the Hotels, Restaurants & Leisure industry. MGM has only an average score on both its financial health and profitability. MGM is valued correctly, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

Quickly go to:

4

1. Profitability

1.1 Basic Checks

In the past year MGM was profitable.
In the past year MGM had a positive cash flow from operations.
MGM had positive earnings in 4 of the past 5 years.
Of the past 5 years MGM 4 years had a positive operating cash flow.
MGM Yearly Net Income VS EBIT VS OCF VS FCFMGM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B -2B

1.2 Ratios

MGM has a Return On Assets (1.76%) which is in line with its industry peers.
MGM's Return On Equity of 24.60% is amongst the best of the industry. MGM outperforms 81.62% of its industry peers.
MGM has a worse Return On Invested Capital (3.38%) than 61.76% of its industry peers.
Industry RankSector Rank
ROA 1.76%
ROE 24.6%
ROIC 3.38%
ROA(3y)2.54%
ROA(5y)1.55%
ROE(3y)28.15%
ROE(5y)17.7%
ROIC(3y)N/A
ROIC(5y)N/A
MGM Yearly ROA, ROE, ROICMGM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 30

1.3 Margins

Looking at the Profit Margin, with a value of 4.31%, MGM is in line with its industry, outperforming 57.35% of the companies in the same industry.
In the last couple of years the Profit Margin of MGM has declined.
MGM has a Operating Margin of 9.64%. This is comparable to the rest of the industry: MGM outperforms 51.47% of its industry peers.
MGM's Operating Margin has declined in the last couple of years.
MGM has a Gross Margin (45.51%) which is in line with its industry peers.
MGM's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 9.64%
PM (TTM) 4.31%
GM 45.51%
OM growth 3Y18.28%
OM growth 5Y-2.59%
PM growth 3Y-29.19%
PM growth 5Y-22.93%
GM growth 3Y-1.78%
GM growth 5Y2.08%
MGM Yearly Profit, Operating, Gross MarginsMGM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 -40

More info and screens

4

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MGM is destroying value.
Compared to 1 year ago, MGM has less shares outstanding
MGM has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MGM is higher compared to a year ago.
MGM Yearly Shares OutstandingMGM Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M 500M
MGM Yearly Total Debt VS Total AssetsMGM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.2 Solvency

Based on the Altman-Z score of 0.81, we must say that MGM is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.81, MGM is doing worse than 72.06% of the companies in the same industry.
The Debt to FCF ratio of MGM is 5.51, which is a neutral value as it means it would take MGM, 5.51 years of fcf income to pay off all of its debts.
MGM's Debt to FCF ratio of 5.51 is fine compared to the rest of the industry. MGM outperforms 76.47% of its industry peers.
A Debt/Equity ratio of 2.18 is on the high side and indicates that MGM has dependencies on debt financing.
With a Debt to Equity ratio value of 2.18, MGM perfoms like the industry average, outperforming 55.15% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 2.18
Debt/FCF 5.51
Altman-Z 0.81
ROIC/WACC0.39
WACC8.62%
MGM Yearly LT Debt VS Equity VS FCFMGM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B

2.3 Liquidity

A Current Ratio of 1.30 indicates that MGM should not have too much problems paying its short term obligations.
MGM's Current ratio of 1.30 is fine compared to the rest of the industry. MGM outperforms 68.38% of its industry peers.
A Quick Ratio of 1.26 indicates that MGM should not have too much problems paying its short term obligations.
The Quick ratio of MGM (1.26) is better than 70.59% of its industry peers.
Industry RankSector Rank
Current Ratio 1.3
Quick Ratio 1.26
MGM Yearly Current Assets VS Current LiabilitesMGM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

More info and screens

3

3. Growth

3.1 Past

MGM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.17%.
Measured over the past years, MGM shows a very strong growth in Earnings Per Share. The EPS has been growing by 65.28% on average per year.
The Revenue has been growing slightly by 6.66% in the past year.
The Revenue has been growing slightly by 5.97% on average over the past years.
EPS 1Y (TTM)-16.17%
EPS 3Y-0.18%
EPS 5Y65.28%
EPS Q2Q%-6.76%
Revenue 1Y (TTM)6.66%
Revenue growth 3Y21.22%
Revenue growth 5Y5.97%
Sales Q2Q%-2.43%

3.2 Future

MGM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.54% yearly.
MGM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.87% yearly.
EPS Next Y-12.11%
EPS Next 2Y3.38%
EPS Next 3Y7.58%
EPS Next 5Y6.54%
Revenue Next Year0.37%
Revenue Next 2Y1.13%
Revenue Next 3Y-0.6%
Revenue Next 5Y2.87%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
MGM Yearly Revenue VS EstimatesMGM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 5B 10B 15B 20B
MGM Yearly EPS VS EstimatesMGM Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 0 2 -2 4 -4 6

More info and screens

6

4. Valuation

4.1 Price/Earnings Ratio

MGM is valuated correctly with a Price/Earnings ratio of 12.65.
Compared to the rest of the industry, the Price/Earnings ratio of MGM indicates a rather cheap valuation: MGM is cheaper than 83.82% of the companies listed in the same industry.
MGM is valuated cheaply when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 11.61 indicates a reasonable valuation of MGM.
Based on the Price/Forward Earnings ratio, MGM is valued cheaper than 84.56% of the companies in the same industry.
MGM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 20.81, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 12.65
Fwd PE 11.61
MGM Price Earnings VS Forward Price EarningsMGM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

MGM's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MGM is cheaper than 91.91% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MGM is valued cheaply inside the industry as 95.59% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 7.5
EV/EBITDA 5.34
MGM Per share dataMGM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)0.19
EPS Next 2Y3.38%
EPS Next 3Y7.58%

More info and screens

2

5. Dividend

5.1 Amount

MGM has a yearly dividend return of 0.02%, which is pretty low.
Compared to an average industry Dividend Yield of 3.67, MGM has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.45, MGM's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.02%

5.2 History

MGM has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
MGM Yearly Dividends per shareMGM Yearly Dividends per shareYearly Dividends per share 2017 2018 2019 2020 2021 2022 0.1 0.2 0.3 0.4 0.5

5.3 Sustainability

DP0%
EPS Next 2Y3.38%
EPS Next 3Y7.58%
MGM Yearly Income VS Free CF VS DividendMGM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B

More info and screens

MGM RESORTS INTERNATIONAL

NYSE:MGM (5/5/2025, 3:54:09 PM)

32.125

+0.16 (+0.48%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)04-30 2025-04-30/amc
Earnings (Next)07-29 2025-07-29/amc
Inst Owners69.2%
Inst Owner Change-0.76%
Ins Owners1%
Ins Owner Change-0.02%
Market Cap9.09B
Analysts80.77
Price Target46.94 (46.12%)
Short Float %10.31%
Short Ratio3.66
Dividend
Industry RankSector Rank
Dividend Yield 0.02%
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)17.31%
Min EPS beat(2)-12.16%
Max EPS beat(2)46.78%
EPS beat(4)3
Avg EPS beat(4)24.86%
Min EPS beat(4)-12.16%
Max EPS beat(4)46.78%
EPS beat(8)7
Avg EPS beat(8)63.13%
EPS beat(12)8
Avg EPS beat(12)-13.42%
EPS beat(16)12
Avg EPS beat(16)44.06%
Revenue beat(2)1
Avg Revenue beat(2)-0.42%
Min Revenue beat(2)-1.55%
Max Revenue beat(2)0.71%
Revenue beat(4)3
Avg Revenue beat(4)0.8%
Min Revenue beat(4)-1.55%
Max Revenue beat(4)2.47%
Revenue beat(8)7
Avg Revenue beat(8)2.32%
Revenue beat(12)11
Avg Revenue beat(12)3.08%
Revenue beat(16)14
Avg Revenue beat(16)3.43%
PT rev (1m)-6.86%
PT rev (3m)-5.24%
EPS NQ rev (1m)-2%
EPS NQ rev (3m)-5.37%
EPS NY rev (1m)-2.23%
EPS NY rev (3m)2.56%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)0.6%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)0.16%
Valuation
Industry RankSector Rank
PE 12.65
Fwd PE 11.61
P/S 0.53
P/FCF 7.5
P/OCF 3.85
P/B 3.01
P/tB N/A
EV/EBITDA 5.34
EPS(TTM)2.54
EY7.91%
EPS(NY)2.77
Fwd EY8.62%
FCF(TTM)4.28
FCFY13.33%
OCF(TTM)8.35
OCFY25.99%
SpS60.93
BVpS10.69
TBVpS-13.56
PEG (NY)N/A
PEG (5Y)0.19
Profitability
Industry RankSector Rank
ROA 1.76%
ROE 24.6%
ROCE 4.28%
ROIC 3.38%
ROICexc 3.6%
ROICexgc 4.44%
OM 9.64%
PM (TTM) 4.31%
GM 45.51%
FCFM 7.03%
ROA(3y)2.54%
ROA(5y)1.55%
ROE(3y)28.15%
ROE(5y)17.7%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y36.7%
ROICexcg growth 5Y-2.33%
ROICexc growth 3Y38.34%
ROICexc growth 5Y-1.83%
OM growth 3Y18.28%
OM growth 5Y-2.59%
PM growth 3Y-29.19%
PM growth 5Y-22.93%
GM growth 3Y-1.78%
GM growth 5Y2.08%
F-Score5
Asset Turnover0.41
Health
Industry RankSector Rank
Debt/Equity 2.18
Debt/FCF 5.51
Debt/EBITDA 2.65
Cap/Depr 138.44%
Cap/Sales 6.67%
Interest Coverage 4.09
Cash Conversion 94.75%
Profit Quality 162.97%
Current Ratio 1.3
Quick Ratio 1.26
Altman-Z 0.81
F-Score5
WACC8.62%
ROIC/WACC0.39
Cap/Depr(3y)91.62%
Cap/Depr(5y)67.97%
Cap/Sales(3y)6.09%
Cap/Sales(5y)5.72%
Profit Quality(3y)128.65%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.17%
EPS 3Y-0.18%
EPS 5Y65.28%
EPS Q2Q%-6.76%
EPS Next Y-12.11%
EPS Next 2Y3.38%
EPS Next 3Y7.58%
EPS Next 5Y6.54%
Revenue 1Y (TTM)6.66%
Revenue growth 3Y21.22%
Revenue growth 5Y5.97%
Sales Q2Q%-2.43%
Revenue Next Year0.37%
Revenue Next 2Y1.13%
Revenue Next 3Y-0.6%
Revenue Next 5Y2.87%
EBIT growth 1Y5.02%
EBIT growth 3Y43.38%
EBIT growth 5Y3.23%
EBIT Next Year208.69%
EBIT Next 3Y44.93%
EBIT Next 5Y30.12%
FCF growth 1Y-32.1%
FCF growth 3Y11.14%
FCF growth 5Y2.5%
OCF growth 1Y-13.04%
OCF growth 3Y19.82%
OCF growth 5Y5.47%