MGM (MGM) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Hotel and casino giant MGM Resorts has agreed to pay $45 million to settle more than a dozen class action lawsuits after hackers stole personal data on millions of customers in two separate cyberattacks.
MGM Resorts (MGM 1.52%) is one of the dominant resort and casino companies in the U.S. and Macau with growth opportunities in online gaming an upcoming resort in Japan. But the market is pricing this like a value stock, which could be a major opportunity long-term.
MGM's BetMGM partners with Fremantle to expand its online casino with iconic game show content.
MGM Resorts (MGM 0.24%) is a leader in gaming on the Las Vegas Strip and Macao, but the market hasn't appreciated the company's cash flow or buybacks over the past year. In this video, Travis Hoium shows why this is a cheap stock and has incredible potential through not only buybacks but also long-term growth.
MGM Resorts: A 13% FCF Yielding Bet That Could Double In 3 Years
Starting coverage of MGM Resorts today, I am calling it a buy, driven by its top market share and steady trend of positive cashflow. Although the macro outlook for Las Vegas is mixed for 2025, MGM has been growing in Asia and has a diversified US portfolio beyond Vegas. The stock is not a dividend payer, but it is trading below its moving average and at an undervaluation to peers.
UnitedHealth Group shares have dropped over 20% due to public backlash and political rhetoric; current valuation suggests 17-30% upside potential. IAC remains undervalued in a SOTP framework, with MGM Resorts presenting significant upside due to its clean balance sheet and undervalued core US gaming business. MGM's US gaming business is undervalued at ~9x free cash flow; fair value suggests 25-43% upside when considering its Chinese business stake.
MGM Resorts (MGM -1.50%) was a post-pandemic winner because it benefited from the resurgence of America's in-person entertainment venues after the lockdowns and other movement restrictions. However, with Las Vegas gambling near its peak, the company must look to new international markets to pioneer the next leg of long-term growth.
MGM (MGM) reported earnings 30 days ago. What's next for the stock?
MGM focuses on strategic partnerships and international expansion to drive growth. However, high costs are a concern.
MGM Resorts International offers a compelling investment opportunity with strong momentum in 2025, driven by Las Vegas tourism, digital gaming, and new geographic developments. The company operates four segments: Las Vegas, Regionals, and China, and Digital. Key growth drivers include new resort developments in Japan, Thailand, UAE, and digital expansion internationally, enhancing MGM's revenue and free cash flow.