MGM
MGM Resorts International (NYSE: MGM) rose more than 11% in premarket trading after billionaire Barry...
Article Summary
HOLD- MGM Resorts International (NYSE: MGM) rose more than 11% in premarket trading after billionaire Barry Diller's People Inc. submitted a $48.30-per-share all-cash bid to take the casino operator private, representing a premium of roughly 10% as of the stock's last closing price on Friday.
- The total deal value also includes the assumption of $6 billion in debt, with Diller's unique position at MGM Resorts making it difficult for external parties to make counteroffers as he holds 26% of voting shares in the casino and resort company along with two board seats, one of which he occupies.
- Diller announced in April that his holding company, IAC, would rebrand as People Inc., with the corporate identity makeover taking effect from August this year, now concentrating holdings just on media publishing brands such as Investopedia, Care.com, and Angi, with MGM Resorts International maintaining an excellent balance sheet with plenty of cash to pursue opportunities.
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Growth Stock Scoring Breakdown
| METRIC | VALUE | WEIGHT | ANALYSIS |
|---|---|---|---|
| Sales Growth TTM ? | 3.4% | 25% | 20.0 ptsMinimal (3.4%) - Very weak |
| EPS Growth Next 5Y ? | -6.1% | 25% | 0.0 ptsNegative (-6.1%) - Declining expectations |
| Target Price Upside ? | 11.0% above | 20% | 0.0 ptsAbove Target (11.0% above) - Target: $45.26 vs Current: $50.87 |
| Gross Margin % ? | 38.3% | 15% | 60.0 ptsSolid (38.3%) - Decent margins |
| Drawdown from 52-Wk High ? | 14.9% | 15% | 20.0 ptsBarely a Dip (14.9%) - Near recent highs |
Disclaimer: This rating is for informational purposes only and is not financial advice.
All data sourced from Finviz.
Always conduct your own research and consult with a financial advisor before making investment decisions.
Past performance does not guarantee future results.
About MGM
- MGM Resorts International, through its subsidiaries, operates as a gaming and entertainment company in the United States, China, and internationally.
- It operates through four segments: Las Vegas Strip Resorts, Regional Operations, MGM China, and MGM Digital.
- The company operates casino resorts that offer gaming, hotel, convention, dining, entertainment, retail, and other resort amenities, as well as online/digital games through its online platforms.
- Its casino operations include slots and table games, as well as live dealer, online sports betting, and iGaming through BetMGM.
- The company's customers include premium gaming customers; leisure and wholesale travel customers; business travelers; and group customers, including conventions, trade associations, and small meetings.
- The company was formerly known as MGM MIRAGE and changed its name to MGM Resorts International in June 2010.
- MGM Resorts International was incorporated in 1986 and is based in Las Vegas, Nevada.