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MGM China Holdings

DB:M04
Snowflake Description

High growth potential and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
M04
DB
HK$46B
Market Cap
  1. Home
  2. DE
  3. Consumer Services
Company description

MGM China Holdings Limited, an investment holding company, engages in the development, ownership, and operation of gaming and lodging resorts in the Greater China region. The last earnings update was 79 days ago. More info.


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  • MGM China Holdings has significant price volatility in the past 3 months.
M04 Share Price and Events
7 Day Returns
-3.1%
DB:M04
0.1%
DE Hospitality
-3.6%
DE Market
1 Year Returns
-
DB:M04
-52.1%
DE Hospitality
-11.8%
DE Market
M04 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
MGM China Holdings (M04) -3.1% -12% -25.7% - - -
DE Hospitality 0.1% -9.6% -10.1% -52.1% -29% -25.2%
DE Market -3.6% -2.1% -0.8% -11.8% 12% 5.8%
1 Year Return vs Industry and Market
  • No trading data on M04.
  • No trading data on M04.
Price Volatility
M04
Industry
5yr Volatility vs Market
Related Companies

M04 Value

 Is MGM China Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of MGM China Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for MGM China Holdings.

DB:M04 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 20 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:M04
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.921 (1 + (1- 26.01%) (41.18%))
1.135
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.13
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.135 * 5.96%)
6.99%

Discounted Cash Flow Calculation for DB:M04 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for MGM China Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:M04 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HKD, Millions) Source Present Value
Discounted (@ 6.99%)
2019 4,946.50 Analyst x4 4,623.27
2020 5,765.43 Analyst x7 5,036.57
2021 6,067.00 Analyst x4 4,953.69
2022 6,287.77 Est @ 3.64% 4,798.48
2023 6,452.24 Est @ 2.62% 4,602.23
2024 6,574.79 Est @ 1.9% 4,383.20
2025 6,666.70 Est @ 1.4% 4,154.06
2026 6,736.50 Est @ 1.05% 3,923.26
2027 6,790.48 Est @ 0.8% 3,696.28
2028 6,833.21 Est @ 0.63% 3,476.49
Present value of next 10 years cash flows HK$43,647.53
DB:M04 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= HK$6,833.21 × (1 + 0.23%) ÷ (6.99% – 0.23%)
HK$101,264.30
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HK$101,264.30 ÷ (1 + 6.99%)10
HK$51,519.59
DB:M04 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HK$43,647.53 + HK$51,519.59
HK$95,167.12
Equity Value per Share
(HKD)
= Total value / Shares Outstanding
= HK$95,167.12 / 3,800.11
HK$25.04
DB:M04 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:M04 represents 0.10842x of SEHK:2282
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.10842x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (HKD) x Listing Adjustment Factor
= HK$ 25.04 x 0.10842
€2.72
Value per share (EUR) From above. €2.72
Current discount Discount to share price of €1.31
= -1 x (€1.31 - €2.72) / €2.72
51.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price MGM China Holdings is available for.
Intrinsic value
>50%
Share price is €1.31 vs Future cash flow value of €2.72
Current Discount Checks
For MGM China Holdings to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • MGM China Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • MGM China Holdings's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for MGM China Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are MGM China Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:M04 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in HKD HK$0.28
SEHK:2282 Share Price ** SEHK (2019-06-14) in HKD HK$12.06
Germany Hospitality Industry PE Ratio Median Figure of 10 Publicly-Listed Hospitality Companies 18.98x
Germany Market PE Ratio Median Figure of 424 Publicly-Listed Companies 19.7x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of MGM China Holdings.

DB:M04 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:2282 Share Price ÷ EPS (both in HKD)

= 12.06 ÷ 0.28

42.89x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MGM China Holdings is overvalued based on earnings compared to the DE Hospitality industry average.
  • MGM China Holdings is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does MGM China Holdings's expected growth come at a high price?
Raw Data
DB:M04 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 42.89x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts
24.5%per year
Germany Hospitality Industry PEG Ratio Median Figure of 5 Publicly-Listed Hospitality Companies 1.31x
Germany Market PEG Ratio Median Figure of 270 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

DB:M04 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 42.89x ÷ 24.5%

1.75x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MGM China Holdings is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on MGM China Holdings's assets?
Raw Data
DB:M04 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in HKD HK$2.35
SEHK:2282 Share Price * SEHK (2019-06-14) in HKD HK$12.06
Germany Hospitality Industry PB Ratio Median Figure of 13 Publicly-Listed Hospitality Companies 2.06x
Germany Market PB Ratio Median Figure of 576 Publicly-Listed Companies 1.76x
DB:M04 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:2282 Share Price ÷ Book Value per Share (both in HKD)

= 12.06 ÷ 2.35

5.12x

* Primary Listing of MGM China Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MGM China Holdings is overvalued based on assets compared to the DE Hospitality industry average.
X
Value checks
We assess MGM China Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check)
  5. MGM China Holdings has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

M04 Future Performance

 How is MGM China Holdings expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
24.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is MGM China Holdings expected to grow at an attractive rate?
  • MGM China Holdings's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • MGM China Holdings's earnings growth is expected to exceed the Germany market average.
  • MGM China Holdings's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:M04 Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:M04 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts 24.5%
DB:M04 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 20 Analysts 9.8%
Germany Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 18.9%
Germany Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 4%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.7%
Germany Market Revenue Growth Rate Market Cap Weighted Average 5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:M04 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:M04 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 34,308 10,215 7,493 1
2022-12-31 31,767 9,191 6,471 1
2021-12-31 26,808 6,988 3,973 14
2020-12-31 24,906 6,574 3,323 20
2019-12-31 22,852 6,018 2,594 18
DB:M04 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2018-12-31 19,201 2,159 1,068
2018-09-30 17,880 4,775 1,412
2018-06-30 17,435 7,391 1,756
2018-03-31 16,396 7,275 2,038
2017-12-31 14,481 7,158 2,320
2017-09-30 14,612 5,606 2,663
2017-06-30 14,744 4,054 3,006
2017-03-31 14,826 3,408 3,021
2016-12-31 14,907 2,762 3,037
2016-09-30 15,014 3,107 2,874
2016-06-30 15,121 3,452 2,711
2016-03-31 16,146 3,331 2,912

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • MGM China Holdings's earnings are expected to grow significantly at over 20% yearly.
  • MGM China Holdings's revenue is expected to grow by 9.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:M04 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below

All data from MGM China Holdings Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:M04 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 1.97 1.97 1.97 1.00
2022-12-31 1.70 1.70 1.70 1.00
2021-12-31 1.04 1.40 0.73 14.00
2020-12-31 0.87 1.16 0.60 20.00
2019-12-31 0.66 0.78 0.45 18.00
DB:M04 Past Financials Data
Date (Data in HKD Millions) EPS *
2018-12-31 0.28
2018-09-30 0.37
2018-06-30 0.46
2018-03-31 0.54
2017-12-31 0.61
2017-09-30 0.70
2017-06-30 0.79
2017-03-31 0.80
2016-12-31 0.80
2016-09-30 0.76
2016-06-30 0.71
2016-03-31 0.77

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • MGM China Holdings is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess MGM China Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
MGM China Holdings has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

M04 Past Performance

  How has MGM China Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare MGM China Holdings's growth in the last year to its industry (Hospitality).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • MGM China Holdings's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • MGM China Holdings's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • MGM China Holdings's 1-year earnings growth is negative, it can't be compared to the DE Hospitality industry average.
Earnings and Revenue History
MGM China Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from MGM China Holdings Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:M04 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 19,200.72 1,068.50 688.47
2018-09-30 17,880.15 1,412.46 632.07
2018-06-30 17,435.05 1,756.43 785.18
2018-03-31 16,395.53 2,038.31 681.45
2017-12-31 14,480.53 2,320.19 368.23
2017-09-30 14,612.19 2,663.24 365.96
2017-06-30 14,743.84 3,006.30 363.69
2017-03-31 14,825.65 3,021.40 399.81
2016-12-31 14,907.47 3,036.51 435.92
2016-09-30 15,014.47 2,873.77 450.52
2016-06-30 15,121.48 2,711.03 465.11
2016-03-31 16,145.96 2,911.77 502.83
2015-12-31 17,170.45 3,112.52 540.54
2015-09-30 19,052.24 3,742.15 621.66
2015-06-30 20,934.02 4,371.79 702.78
2015-03-31 23,194.16 5,039.37 752.86
2014-12-31 25,454.30 5,706.94 802.95
2014-09-30 26,314.16 5,801.34 96.73
2014-06-30 27,174.02 5,895.73 -609.49
2014-03-31 26,450.77 5,614.63 92.61
2013-12-31 25,727.51 5,333.53 794.72
2013-09-30 24,412.45 4,855.61 1,978.35
2013-06-30 23,097.38 4,377.70 3,161.97
2013-03-31 22,435.49 4,454.27 3,127.78
2012-12-31 21,773.59 4,530.83 3,093.58
2012-09-30 21,578.87 4,264.76 3,287.44
2012-06-30 21,384.15 3,998.69 3,481.29

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • MGM China Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • MGM China Holdings used its assets less efficiently than the DE Hospitality industry average last year based on Return on Assets.
  • MGM China Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess MGM China Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
MGM China Holdings has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

M04 Health

 How is MGM China Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up MGM China Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • MGM China Holdings's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • MGM China Holdings's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of MGM China Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from MGM China Holdings Company Filings, last reported 5 months ago.

DB:M04 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 8,945.78 18,873.21 3,992.11
2018-09-30 8,945.78 18,873.21 3,992.11
2018-06-30 8,791.39 16,123.15 3,518.63
2018-03-31 8,791.39 16,123.15 3,518.63
2017-12-31 8,512.36 17,839.22 5,283.39
2017-09-30 8,512.36 17,839.22 5,283.39
2017-06-30 7,911.68 16,554.01 3,147.41
2017-03-31 7,911.68 16,554.01 3,147.41
2016-12-31 7,216.70 14,708.63 3,547.13
2016-09-30 7,216.70 14,708.63 3,547.13
2016-06-30 5,893.74 12,559.17 3,471.68
2016-03-31 5,893.74 12,559.17 3,471.68
2015-12-31 4,915.05 11,731.95 5,421.06
2015-09-30 4,915.05 11,731.95 5,421.06
2015-06-30 4,056.33 9,370.64 4,047.71
2015-03-31 4,056.33 9,370.64 4,047.71
2014-12-31 6,341.52 4,118.18 4,232.19
2014-09-30 6,341.52 4,118.18 4,232.19
2014-06-30 4,695.62 4,083.06 5,099.49
2014-03-31 4,695.62 4,083.06 5,099.49
2013-12-31 6,503.46 4,049.22 7,884.81
2013-09-30 6,503.46 4,049.22 7,884.81
2013-06-30 4,526.85 4,015.51 6,514.45
2013-03-31 4,526.85 4,015.51 6,514.45
2012-12-31 5,911.32 3,983.02 7,381.36
2012-09-30 5,911.32 3,983.02 7,381.36
2012-06-30 3,981.70 4,161.44 5,105.28
  • MGM China Holdings's level of debt (211%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (62.5% vs 211% today).
  • Debt is not well covered by operating cash flow (11.4%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.5x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess MGM China Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. MGM China Holdings has a total score of 0/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

M04 Dividends

 What is MGM China Holdings's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.56%
Current annual income from MGM China Holdings dividends. Estimated to be 3.18% next year.
If you bought €2,000 of MGM China Holdings shares you are expected to receive €11 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • MGM China Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.44%).
  • MGM China Holdings's dividend is below the markets top 25% of dividend payers in Germany (3.91%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:M04 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
Germany Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 7 Stocks 8%
Germany Market Average Dividend Yield Market Cap Weighted Average of 327 Stocks 3.2%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:M04 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 0.61 1.00
2022-12-31 0.51 1.00
2021-12-31 0.50 15.00
2020-12-31 0.39 20.00
2019-12-31 0.25 18.00
DB:M04 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2019-03-28 0.068 0.478
2019-03-06 0.068 0.434
2018-08-08 0.128 0.950
2018-05-24 0.213 1.149
2017-03-20 0.279 1.480
2016-08-04 0.212 1.518
2016-04-21 0.186 1.748
2015-09-10 1.217 12.064
2015-08-04 1.217 8.688
2015-04-10 1.341 9.020
2014-09-22 1.580 8.125
2014-08-05 1.580 6.268
2014-04-08 1.540 5.733
2014-02-19 1.540 5.068
2013-09-23 1.480 5.075
2013-08-06 1.480 6.434
2013-04-03 1.020 5.204
2013-02-21 1.020 5.902

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MGM China Holdings is not paying a notable dividend for Germany, therefore no need to check if the payments are stable.
  • MGM China Holdings is not paying a notable dividend for Germany, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of MGM China Holdings's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of MGM China Holdings's dividends as it is not paying a notable one for Germany.
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (2x coverage).
X
Income/ dividend checks
We assess MGM China Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can MGM China Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. MGM China Holdings has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

M04 Management

 What is the CEO of MGM China Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Grant Bowie
COMPENSATION HK$47,700,000
AGE 60
CEO Bio

Mr. Grant R. Bowie serves as the Chief Executive Officer of MGM Resorts China Holdings Limited. Mr. Bowie has been the President of MGM Grand Paradise Limited since August 1, 008. He serves as President of MGM GRAND Macau. He served as the President of Wynn Resorts (Macau), SA, a wholly owned indirect subsidiary of Wynn Resorts Ltd. from September 2003 to July 13, 2007 and served as its General Manager since August 2003. He was responsible for overseeing the development and operations of Wynn Resorts. He has extensive experience in casino management, acquired through managing properties such as Conrad Jupiters and Treasury Casinos in Australia. Mr. Bowie has been involved in the gaming industry for over 20 years and served as Senior Vice President of BI Gaming Corporation and as General Manager of Conrad Jupiters in Australia. His career in the gaming industry started in 1983 as a senior auditor for Arthur Andersen's gaming and hospitality group. In 1987, he joined Conrad Jupiters in Australia and from 1987 to 1993, worked as a senior manager in several areas of the organization. Since 1993, he served as a General Manager of Treasury Casino (Brisbane). Since 1998, he served as Vice President and General Manager of Conrad Jupiters (Gold Coast). He has been an Executive Director of MGM Resorts China Holdings Limited since July 9, 2010. In his 16 years with Park Place Entertainment, he held senior positions in casino, general finance and hotel operations before being appointed General Manager of both Park Place Entertainment's properties in Australia. He is also an Adjunct Professor in Tourism and Leisure Management at the University of Queensland. Mr. Bowie holds a Bachelor's degree in commerce from the University of Otago in New Zealand.

CEO Compensation
  • Grant's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Grant's remuneration is higher than average for companies of similar size in Germany.
Management Team

Pansy Catilina Ho

TITLE
Executive Co-Chairperson
AGE
55

Jim Murren

TITLE
Executive Co-Chairperson
AGE
56

Grant Bowie

TITLE
CEO & Executive Director
COMPENSATION
HK$48M
AGE
60

Bill Hornbuckle

TITLE
Executive Director
AGE
60

Yau Chen

TITLE
Executive Director
AGE
64

Hubert Wang

TITLE
Senior VP of Finance & CFO
AGE
51
TENURE
7.9 yrs

Scott Wessel

TITLE
Senior Vice President of Digital & Technology Solutions
AGE
46
TENURE
6.4 yrs

Antonio Jose De Castro Dos Santos Menano

TITLE
Company Secretary
AGE
55

Wendy Yu

TITLE
Senior Vice President of Human Resources
AGE
50

Michael Holubowskyj

TITLE
Senior Vice President of Security & Safety
AGE
52
Board of Directors Tenure

Average tenure and age of the MGM China Holdings board of directors in years:

8.5
Average Tenure
55.5
Average Age
  • The tenure for the MGM China Holdings board of directors is about average.
Board of Directors

Pansy Catilina Ho

TITLE
Executive Co-Chairperson
AGE
55

Jim Murren

TITLE
Executive Co-Chairperson
AGE
56

Grant Bowie

TITLE
CEO & Executive Director
COMPENSATION
HK$48M
AGE
60
TENURE
8.9 yrs

Bill Hornbuckle

TITLE
Executive Director
AGE
60
TENURE
8.8 yrs

Yau Chen

TITLE
Executive Director
AGE
64
TENURE
8.8 yrs

Sun Zhe

TITLE
Independent Non-Executive Director
COMPENSATION
HK$701K
AGE
52
TENURE
8.8 yrs

Patricia Lam

TITLE
Independent Non-Executive Director
COMPENSATION
HK$701K
AGE
51
TENURE
8.3 yrs

Russell Banham

TITLE
Independent Non-Executive Director
COMPENSATION
HK$1M
AGE
64
TENURE
4.6 yrs

Kenneth Feng

TITLE
Non-Executive Director
AGE
47
TENURE
1.1 yrs

Jim Freeman

TITLE
Non-Executive Director
AGE
49
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess MGM China Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. MGM China Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

M04 News

Simply Wall St News

M04 Company Info

Description

MGM China Holdings Limited, an investment holding company, engages in the development, ownership, and operation of gaming and lodging resorts in the Greater China region. The company engages in the development and operation of casino games of chance and other casino games, and the related hotel and resort facilities; and the development of integrated resorts in Macau. It owns and operates MGM Macau, an integrated resort that includes a casino with a floor area of approximately 34,404 square meters, 806 slot machines, 291 gaming tables, and multiple VIP and private gaming areas; a hotel comprising a 35-storey tower with approximately 585 deluxe rooms; and amenities, including 8 restaurants and bars, retail outlets, pool and spa facilities, and approximately 1,600 square meters of convertible convention space. The company also owns and operates MGM COTAI, a resort that consists of a casino with a floor area of approximately 27,696 square meters, 1,218 slot machines, and 236 gaming tables; a hotel comprising 2 towers with approximately 1,362 deluxe rooms and suites; 12 diverse restaurants and bars; retail outlets; and approximately 2,870 square meters of meeting space, as well as other non-gaming offerings. In addition, MGM China Holdings Limited is involved in the food and beverage operations; and provision of outsourcing services, including information technology, accounting, human resources, hotel reservation, and convention consultation. The company was incorporated in 2010 and is headquartered in Macau. MGM China Holdings Limited is a subsidiary of MGM Resorts International Holdings, Ltd.

Details
Name: MGM China Holdings Limited
M04
Exchange: DB
Founded: 2010
HK$5,217,781,918
3,800,112,101
Website: http://www.mgmchinaholdings.com
Address: MGM China Holdings Limited
Edificio MGM Macau,
Avenida Dr. Sun Yat Sen,
Macau,
Macau
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 2282 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 03. Jun 2011
OTCPK MCHV.F Ordinary Shares Pink Sheets LLC US USD 03. Jun 2011
DB M04 Ordinary Shares Deutsche Boerse AG DE EUR 03. Jun 2011
SHSC 2282 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 03. Jun 2011
SZSC 2282 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 03. Jun 2011
OTCPK MCHV.Y UNSPONSOD ADR Pink Sheets LLC US USD 15. May 2012
Number of employees
Current staff
Staff numbers
10,735
MGM China Holdings employees.
Industry
Casinos and Gaming
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/15 21:59
End of day share price update: 2019/06/14 00:00
Last estimates confirmation: 2019/06/14
Last earnings filing: 2019/03/28
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.