MGM Resorts Intl's Earnings Outlook

MGM Resorts Intl (NYSE:MGM) is set to give its latest quarterly earnings report on Wednesday, 2025-04-30. Here's what investors need to know before the announcement.

Analysts estimate that MGM Resorts Intl will report an earnings per share (EPS) of $0.46.

The market awaits MGM Resorts Intl's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Overview of Past Earnings

In the previous earnings release, the company beat EPS by $0.11, leading to a 17.46% increase in the share price the following trading session.

Here's a look at MGM Resorts Intl's past performance and the resulting price change:

Quarter	Q4 2024	Q3 2024	Q2 2024	Q1 2024
EPS Estimate	0.34	0.61	0.62	0.56
EPS Actual	0.45	0.54	0.86	0.74
Price Change %	17.0%	-11.0%	-13.0%	3.0%

Performance of MGM Resorts Intl Shares

Shares of MGM Resorts Intl were trading at $32.21 as of April 28. Over the last 52-week period, shares are down 20.75%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Analysts' Take on MGM Resorts Intl

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on MGM Resorts Intl.

Analysts have provided MGM Resorts Intl with 12 ratings, resulting in a consensus rating of Outperform. The average one-year price target stands at $46.75, suggesting a potential 45.14% upside.

Comparing Ratings Among Industry Peers

The below comparison of the analyst ratings and average 1-year price targets of Light & Wonder, Churchill Downs and Caesars Entertainment, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for Light & Wonder, with an average 1-year price target of $107.2, suggesting a potential 232.82% upside.
• Analysts currently favor an Outperform trajectory for Churchill Downs, with an average 1-year price target of $144.93, suggesting a potential 349.95% upside.
• Analysts currently favor an Outperform trajectory for Caesars Entertainment, with an average 1-year price target of $42.58, suggesting a potential 32.19% upside.

Analysis Summary for Peers

The peer analysis summary outlines pivotal metrics for Light & Wonder, Churchill Downs and Caesars Entertainment, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Company	Consensus	Revenue Growth	Gross Profit	Return on Equity
MGM Resorts International	Outperform	-0.66%	$1.95B	4.94%
Light & Wonder	Buy	3.37%	$566M	14.46%
Churchill Downs	Outperform	8.75%	$189.50M	7.12%
Caesars Entertainment	Outperform	-0.92%	$1.40B	0.26%

Key Takeaway:

MGM Resorts Intl ranks at the bottom for Revenue Growth among its peers. It is in the middle for Gross Profit and Return on Equity.

Discovering MGM Resorts Intl: A Closer Look

MGM Resorts is the largest resort operator on the Las Vegas Strip with 37,000 guest rooms and suites, representing about one fourth of all units in the market. The company's Vegas properties include MGM Grand, Mandalay Bay, Park MGM, Luxor, New York-New York, and Bellagio. The Strip contributed approximately 59% of total EBITDAR in 2024. MGM also owns US regional assets, which represented a low 20s share of 2024 EBITDAR (MGM's Macao EBITDAR was 21% of the total in 2024). MGM's US sports and i-gaming operations are currently a high-single-digit percentage of its total revenue. The company also operates the 56%-owned MGM China casinos with a new property that opened on the Cotai Strip in early 2018. We estimate MGM will open a resort in Japan in 2030.

Financial Insights: MGM Resorts Intl

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Negative Revenue Trend: Examining MGM Resorts Intl's financials over 3 months reveals challenges. As of 31 December, 2024, the company experienced a decline of approximately -0.66% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: MGM Resorts Intl's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 3.55%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 4.94%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): MGM Resorts Intl's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.36%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: MGM Resorts Intl's debt-to-equity ratio is below the industry average at 10.45, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for MGM Resorts Intl visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.