MGM
MGM Resorts International (NYSE: MGM) surged 10% on Monday after a report indicated Barry Diller's People Inc.
Article Summary
HOLD- MGM Resorts International (NYSE: MGM) surged 10% on Monday after a report indicated Barry Diller's People Inc., formerly known as IAC, is preparing a takeover proposal that could value the casino and hospitality group at approximately $18 billion, with People Inc. considering an all-cash offer of $48.30 per share for the portion of MGM Resorts it does not already own.
- The proposed price would apply to the remaining 73.9% of MGM Resorts International and represents a premium of roughly 10.6% to Friday's closing share price, with no timetable disclosed for when an official offer could be presented to MGM's board.
- The investment group already holds a 26.1% equity stake in MGM and has significant representation at the board level including two board seats one of which is held by Diller, seen as giving People Inc.'s existing ownership position a strategic advantage should it decide to pursue a formal acquisition.
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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 ? | 9.5% | 20% | 10.0 ptsNear/At Target (9.5%) - Target: $45.53 vs Current: $50.31 |
| Gross Margin % ? | 38.3% | 15% | 60.0 ptsSolid (38.3%) - Decent margins |
| Drawdown from 52-Wk High ? | 13.6% | 15% | 20.0 ptsBarely a Dip (13.6%) - 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.