MGM Resorts International
LSE:0JWC
0JWC
LSE
$14B
Market Cap
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Company description
MGM Resorts International, through its subsidiaries, owns and operates integrated casino, hotel, and entertainment resorts in the United States and Macau. The last earnings update was 18 days ago. More info.
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0JWC Share Price and Events
7 Day Returns
0%
LSE:0JWC
-0.6%
GB Hospitality
-0.6%
GB Market
1 Year Returns
-20.8%
LSE:0JWC
-9.6%
GB Hospitality
-5.8%
GB Market
0JWC Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| MGM Resorts International (0JWC) | 0% | -7.7% | - | -20.8% | - | - |
| GB Hospitality | -0.6% | -0.7% | -2.8% | -9.6% | 10.2% | 28.1% |
| GB Market | -0.6% | -2.4% | 1.4% | -5.8% | 13.1% | 1.3% |
1 Year Return vs Industry and Market
- 0JWC underperformed the Hospitality industry which returned -9.6% over the past year.
- 0JWC underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -5.8% over the past year.
Value
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 Resorts International
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 Resorts International.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 18 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 10.1% |
| Perpetual Growth Rate | 10-Year GB Government Bond Rate | 1.2% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year GB Govt Bond Rate | 1.2% |
| Equity Risk Premium | S&P Global | 6% |
| Hospitality Unlevered Beta | Simply Wall St/ S&P Global | 0.91 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.913 (1 + (1- 21%) (111.57%)) |
1.481 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.48 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.481 * 5.96%) |
10.05% |
Discounted Cash Flow Calculation for LSE:0JWC using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for MGM Resorts International 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.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 10.05%) |
|
|---|---|---|---|
| 2019 | 1,183.40 | Analyst x4 | 1,075.32 |
| 2020 | 1,807.22 | Analyst x5 | 1,492.18 |
| 2021 | 1,847.50 | Analyst x2 | 1,386.11 |
| 2022 | 1,882.83 | Est @ 1.91% | 1,283.60 |
| 2023 | 1,914.96 | Est @ 1.71% | 1,186.27 |
| 2024 | 1,944.88 | Est @ 1.56% | 1,094.76 |
| 2025 | 1,973.32 | Est @ 1.46% | 1,009.32 |
| 2026 | 2,000.78 | Est @ 1.39% | 929.90 |
| 2027 | 2,027.63 | Est @ 1.34% | 856.31 |
| 2028 | 2,054.14 | Est @ 1.31% | 788.27 |
| Present value of next 10 years cash flows | $11,102.02 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $2,054.14 × (1 + 1.23%) ÷ (10.05% – 1.23%) |
$23,563.68 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $23,563.68 ÷ (1 + 10.05%)10 |
$9,042.50 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $11,102.02 + $9,042.50 |
$20,144.52 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $20,144.52 / 537.20 |
$37.5 |
| Calculation | Result | |
|---|---|---|
| Non-primary Listing Adjustment Factor |
1 share in LSE:0JWC
represents 0.99295x
of
NYSE:MGM
(This could be a different class, a depositary receipt, a different currency, or all of these things.) |
0.99295x |
| Value per Share (Listing Adjusted, USD) |
= Value per Share (USD) x Listing Adjustment Factor
= $ 37.50 x 0.99295 |
$37.23 |
| Value per share (USD) | From above. | $37.23 |
| Current discount | Discount to share price of
$25.36
= -1 x ($25.36 - $37.23) / $37.23 |
31.9% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Amount off the current price
MGM Resorts International
is available for.
32%
Share price is
$25.36
vs Future cash flow value of
$37.23
Current Discount Checks
For
MGM Resorts International
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
- MGM Resorts International's share price is below the future cash flow value, and at a moderate discount (> 20%).
- MGM Resorts International's share price is below the future cash flow value, but not 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 Resorts International's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
MGM Resorts International's earnings available for a low price, and how does
this compare to other companies in the same industry?
Raw Data
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in USD | $0.47 |
| NYSE:MGM Share Price ** | NYSE (2019-05-14) in USD | $25.54 |
| United Kingdom of Great Britain and Northern Ireland Hospitality Industry PE Ratio | Median Figure of 34 Publicly-Listed Hospitality Companies | 18.2x |
| United Kingdom of Great Britain and Northern Ireland Market PE Ratio | Median Figure of 789 Publicly-Listed Companies | 16.22x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of MGM Resorts International.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:MGM Share Price ÷ EPS (both in USD) = 25.54 ÷ 0.47 |
53.94x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- MGM Resorts International is overvalued based on earnings compared to the GB Hospitality industry average.
- MGM Resorts International is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does
MGM Resorts International's expected growth come at a high price?
Raw Data
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 53.94x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts |
23.3%per year |
| United Kingdom of Great Britain and Northern Ireland Hospitality Industry PEG Ratio | Median Figure of 28 Publicly-Listed Hospitality Companies | 2.25x |
| United Kingdom of Great Britain and Northern Ireland Market PEG Ratio | Median Figure of 575 Publicly-Listed Companies | 1.45x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 53.94x ÷ 23.3% |
2.32x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- MGM Resorts International is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
MGM Resorts International's
assets?
Raw Data
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in USD | $12.63 |
| NYSE:MGM Share Price * | NYSE (2019-05-14) in USD | $25.54 |
| United Kingdom of Great Britain and Northern Ireland Hospitality Industry PB Ratio | Median Figure of 54 Publicly-Listed Hospitality Companies | 1.34x |
| United Kingdom of Great Britain and Northern Ireland Market PB Ratio | Median Figure of 1,369 Publicly-Listed Companies | 1.49x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:MGM Share Price ÷ Book Value per Share (both in USD) = 25.54 ÷ 12.63 |
2.02x |
* Primary Listing of MGM Resorts International.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- MGM Resorts International is overvalued based on assets compared to the GB Hospitality industry average.
X
Value checks
We assess MGM Resorts International's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check) MGM Resorts International has a total score of 1/6, 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.
Future Performance
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!
23.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is
MGM Resorts International
expected to grow at an
attractive
rate?
- MGM Resorts International's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
- MGM Resorts International's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
- MGM Resorts International's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
| Data Point | Source | Value (per year) |
|---|---|---|
| LSE:0JWC Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts | 23.3% |
| LSE:0JWC Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 18 Analysts | 3.4% |
| United Kingdom of Great Britain and Northern Ireland Hospitality Industry Earnings Growth Rate | Market Cap Weighted Average | 11.8% |
| United Kingdom of Great Britain and Northern Ireland Hospitality Industry Revenue Growth Rate | Market Cap Weighted Average | 5.7% |
| United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate | Market Cap Weighted Average | 10.8% |
| United Kingdom of Great Britain and Northern Ireland 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
All numbers in USD Millions and using
Trailing twelve months (TTM)
annual period rather than quarterly.
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 14,787 | 2,937 | 1,369 | 2 |
| 2022-12-31 | 14,284 | 2,761 | 1,226 | 3 |
| 2021-12-31 | 13,947 | 2,531 | 954 | 9 |
| 2020-12-31 | 13,534 | 2,330 | 876 | 18 |
| 2019-12-31 | 13,033 | 2,202 | 581 | 18 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 11,684 | 1,545 | 254 |
| 2018-12-31 | 11,338 | 1,723 | 445 |
| 2018-09-30 | 10,870 | 2,090 | 1,853 |
| 2018-06-30 | 10,675 | 2,360 | 1,862 |
| 2018-03-31 | 10,497 | 2,379 | 1,946 |
| 2017-12-31 | 10,395 | 2,206 | 1,934 |
| 2017-09-30 | 10,263 | 1,997 | 589 |
| 2017-06-30 | 9,951 | 1,859 | 976 |
| 2017-03-31 | 9,567 | 1,715 | 1,241 |
| 2016-12-31 | 9,081 | 1,534 | 1,100 |
| 2016-09-30 | 8,789 | 1,316 | 295 |
| 2016-06-30 | 8,556 | 1,171 | -174 |
*GAAP earnings excluding extraordinary items.
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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
All data from MGM Resorts International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 2.64 | 2.96 | 2.31 | 2.00 |
| 2022-12-31 | 2.37 | 2.57 | 2.16 | 2.00 |
| 2021-12-31 | 1.80 | 2.18 | 1.50 | 6.00 |
| 2020-12-31 | 1.61 | 2.19 | 1.22 | 13.00 |
| 2019-12-31 | 1.02 | 1.43 | 0.78 | 13.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-31 | 0.47 |
| 2018-12-31 | 0.82 |
| 2018-09-30 | 3.35 |
| 2018-06-30 | 3.31 |
| 2018-03-31 | 3.42 |
| 2017-12-31 | 3.38 |
| 2017-09-30 | 1.03 |
| 2017-06-30 | 1.70 |
| 2017-03-31 | 2.18 |
| 2016-12-31 | 1.94 |
| 2016-09-30 | 0.52 |
| 2016-06-30 | -0.31 |
*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 Resorts International is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
MGM Resorts International has a total score of 3/6, 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.
Future performance checks
We assess MGM Resorts International's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
MGM Resorts International has a total score of 3/6, 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.
Past Performance
How has MGM Resorts International 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 Resorts International'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 Resorts International has delivered over 20% year on year earnings growth in the past 5 years.
- MGM Resorts International's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- MGM Resorts International's 1-year earnings growth is negative, it can't be compared to the GB Hospitality industry average.
Earnings and Revenue History
MGM Resorts International'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 Resorts International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 11,683.80 | 254.07 | 2,408.75 | |
| 2018-12-31 | 11,337.60 | 445.45 | 2,335.23 | |
| 2018-09-30 | 10,869.59 | 1,852.73 | 2,337.19 | |
| 2018-06-30 | 10,674.76 | 1,862.34 | 2,248.67 | |
| 2018-03-31 | 10,497.04 | 1,946.15 | 2,142.25 | |
| 2017-12-31 | 10,395.44 | 1,933.69 | 2,034.92 | |
| 2017-09-30 | 10,262.81 | 589.20 | 1,939.04 | |
| 2017-06-30 | 9,950.82 | 976.48 | 1,910.56 | |
| 2017-03-31 | 9,566.69 | 1,241.00 | 1,897.70 | |
| 2016-12-31 | 9,081.12 | 1,100.38 | 1,831.31 | |
| 2016-09-30 | 8,789.08 | 295.32 | 1,734.54 | |
| 2016-06-30 | 8,555.81 | -173.88 | 1,655.17 | |
| 2016-03-31 | 8,668.69 | -550.77 | 1,624.33 | |
| 2015-12-31 | 8,791.23 | -447.72 | 1,654.98 | |
| 2015-09-30 | 8,986.44 | -8.53 | 1,625.24 | |
| 2015-06-30 | 9,190.61 | -95.22 | 1,632.50 | |
| 2015-03-31 | 9,394.31 | -82.68 | 1,612.98 | |
| 2014-12-31 | 9,698.55 | -149.87 | 1,596.82 | |
| 2014-09-30 | 9,830.97 | 135.59 | 1,573.53 | |
| 2014-06-30 | 9,815.27 | 133.54 | 1,555.56 | |
| 2014-03-31 | 9,718.51 | -75.63 | 1,534.07 | |
| 2013-12-31 | 9,445.00 | -171.73 | 1,508.51 | |
| 2013-09-30 | 9,227.51 | -1,338.76 | 1,520.66 | |
| 2013-06-30 | 9,023.81 | -1,497.60 | 1,502.21 | |
| 2013-03-31 | 8,868.11 | -1,543.89 | 1,484.03 | |
| 2012-12-31 | 8,803.25 | -1,767.69 | 1,476.91 | |
| 2012-09-30 | 8,805.77 | -657.56 | 1,442.69 | |
| 2012-06-30 | 8,784.92 | -600.18 | 1,407.40 |
*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 Resorts International has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- MGM Resorts International used its assets less efficiently than the GB Hospitality industry average last year based on Return on Assets.
- MGM Resorts International's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
MGM Resorts International has a total score of 1/6, 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.
Past performance checks
We assess MGM Resorts International's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
MGM Resorts International has a total score of 1/6, 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.
Health
How is MGM Resorts International'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 Resorts International's finances.
The net worth of a company is the difference between its assets and liabilities.
- MGM Resorts International's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- MGM Resorts International's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of
MGM Resorts International'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 0.1x 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 Resorts International Company Filings, last reported 1 month ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 11,317.20 | 15,307.27 | 1,223.40 |
| 2018-12-31 | 10,572.04 | 15,139.42 | 1,526.76 |
| 2018-09-30 | 10,839.52 | 14,663.97 | 1,302.68 |
| 2018-06-30 | 10,926.91 | 13,513.34 | 1,272.87 |
| 2018-03-31 | 11,479.05 | 13,282.47 | 1,525.40 |
| 2017-12-31 | 11,690.90 | 12,909.09 | 1,500.00 |
| 2017-09-30 | 10,384.08 | 13,495.68 | 1,986.69 |
| 2017-06-30 | 10,288.34 | 13,200.81 | 1,757.06 |
| 2017-03-31 | 10,196.49 | 13,100.72 | 1,395.44 |
| 2016-12-31 | 10,023.45 | 12,987.60 | 1,446.58 |
| 2016-09-30 | 9,923.71 | 12,786.42 | 1,446.16 |
| 2016-06-30 | 9,533.13 | 12,364.92 | 2,503.26 |
| 2016-03-31 | 7,871.26 | 12,929.28 | 1,664.91 |
| 2015-12-31 | 7,770.68 | 12,696.75 | 1,670.31 |
| 2015-09-30 | 9,244.72 | 12,821.04 | 1,807.80 |
| 2015-06-30 | 9,181.83 | 13,382.24 | 2,542.55 |
| 2015-03-31 | 7,653.04 | 14,551.81 | 2,195.54 |
| 2014-12-31 | 7,628.27 | 14,050.61 | 2,283.72 |
| 2014-09-30 | 7,898.64 | 12,915.20 | 1,313.43 |
| 2014-06-30 | 7,941.53 | 12,923.71 | 1,434.14 |
| 2014-03-31 | 7,822.85 | 12,930.73 | 1,192.74 |
| 2013-12-31 | 7,860.50 | 13,447.23 | 1,803.67 |
| 2013-09-30 | 7,827.17 | 13,034.52 | 1,465.40 |
| 2013-06-30 | 7,857.17 | 13,111.96 | 1,383.67 |
| 2013-03-31 | 7,879.05 | 13,690.70 | 1,600.64 |
| 2012-12-31 | 8,116.02 | 13,589.28 | 1,663.51 |
| 2012-09-30 | 9,265.50 | 13,825.45 | 2,563.16 |
| 2012-06-30 | 9,412.21 | 13,366.99 | 1,866.92 |
- MGM Resorts International's level of debt (135.3%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (165.3% vs 135.3% today).
- Debt is not well covered by operating cash flow (10.1%, less than 20% of total debt).
- Interest payments on debt are not well covered by earnings (EBIT is 1.6x annual interest expense, ideally 3x coverage).
X
Full details on the Health part of the Simply Wall St company analysis model.
Financial health checks
We assess MGM Resorts International's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) MGM Resorts International has a total score of 1/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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.
Dividends
What is MGM Resorts International'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
2.04%
Current annual income from
MGM Resorts International
dividends.
Estimated to be
2.26%
next year.
If you bought
$2,000 of
MGM Resorts International
shares you are expected to receive
$41
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 Resorts International's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.04%).
- MGM Resorts International's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.32%).
Upcoming dividend payment
Purchase MGM Resorts International before the 'Buy Limit' to receive their next dividend payment.
Dividends are usually paid every 3 or 6 months, you can time your share
purchase to take advantage of upcoming dividend payments.
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
| 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 18 Analyst Estimates (S&P Global) | See Below |
| United Kingdom of Great Britain and Northern Ireland Hospitality Industry Average Dividend Yield | Market Cap Weighted Average of 32 Stocks | 3.2% |
| United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield | Market Cap Weighted Average of 706 Stocks | 4.3% |
| United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield | 10th Percentile | 1% |
| United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield | 25th Percentile | 2% |
| United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield | 75th Percentile | 5.3% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | 0.91 | 2.00 |
| 2022-12-31 | 0.79 | 2.00 |
| 2021-12-31 | 0.60 | 8.00 |
| 2020-12-31 | 0.54 | 12.00 |
| 2019-12-31 | 0.51 | 12.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-05-07 | 0.520 | 2.026 |
| 2019-04-29 | 0.520 | 1.991 |
| 2019-02-27 | 0.520 | 1.940 |
| 2019-02-13 | 0.520 | 1.853 |
| 2018-08-02 | 0.480 | 1.770 |
| 2018-02-20 | 0.480 | 1.482 |
| 2017-11-09 | 0.440 | 1.288 |
| 2017-11-08 | 0.440 | 1.337 |
| 2017-08-08 | 0.440 | 1.395 |
| 2017-07-27 | 0.440 | 1.363 |
| 2017-05-09 | 0.440 | 1.367 |
| 2017-04-27 | 0.440 | 1.426 |
| 2017-03-01 | 0.440 | 1.618 |
| 2017-02-16 | 0.440 | 1.657 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Whilst dividend payments have been stable, MGM Resorts International has been paying a dividend for less than 10 years.
- Dividend payments have increased, but MGM Resorts International only paid a dividend in the past 2 years.
X
Full details on the Dividends part of the Simply Wall St company analysis model.
Income/ dividend checks
We assess MGM Resorts International's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can MGM Resorts International afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) MGM Resorts International 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.
Management
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
Jim
Murren
| COMPENSATION | $12,849,021 |
| AGE | 56 |
| TENURE AS CEO | 10.4 years |
CEO Bio
Mr. James Joseph Murren, also known as Jim, serves as Manager of MGM Growth Properties OP GP LLC. Mr. Murren has been the Chairman and Chief Executive Officer of MGM Resorts International since December 1, 2008. He serves as a Co-Chairperson at MGM China Holdings Limited since 2013 and has been its Executive Director since September 22, 2010. He has been an Executive Director of MGM Resorts International since 1998. He has been the President of Galleon Inc. since December 2008. He served as Treasurer of Galleon, a joint venture firm of Circus & Eldorado Joint Venture since April 2005. He served as an Equity Analyst at Deutsche Bank AG, Research Division. He served as the President at MGM Resorts International from December 1999 to December 2012 and also served as its Chief Operating Officer from August 21, 2007 to December 2008, Chief Financial Officer from January 1998 to August 21, 2007, Treasurer from November 2001 to August 21, 2007 and Principal Accounting Officer until August 21, 2007. Mr. Murren served as MGM’s President from December 1999 to December 2012, Chief Operating Officer from August 2007 through December 2008 and as Chief Financial Officer from January 1998 to August 2007 and as Treasurer from November 2001 to August 2007. He served as an Executive Vice President of MGM Mirage from January 1998 to December 1999. Prior to joining the Board of MGM Grand Paradise, he was involved in the design, development, financing, management and operations of MGM Grand Paradise. Prior to his employment at MGM Mirage, he spent 14 years on Wall Street as a top-ranked Equity Analyst. He served as Managing Director and Co-Director of Research for Deutsche Morgan Grenfell and served in various other capacities since 1984. He served as Director of Research and Managing Director of U.S. Equity Research of Deutsche Bank AG, Research Division. He serves as the Chairman of CityCenter Holdings, LLC and MGM Growth Properties LLC. He has been Director of MGM Growth Properties LLC since 2016. He has been a Director of MGM Grand Paradise since January 19, 2010 and Silver Legacy Capital Corp. since November 2007. He serves as a Director of American Gaming Association. He served as a Director of Nevada Cancer Institute from 2002 to 2012 and Delta Petroleum Corp. (now Par Pacific Holdings, Inc.) from February 2008 to November 21, 2011. He serves on the Board of Trustees at the Brookings Institute, Trinity College and Howard University. Mr. Murren received a Bachelor of Arts degree in Art History and Urban Studies from Trinity College in 1983.
CEO Compensation
- Jim's compensation has been consistent with company performance over the past year, both up more than 20%.
- Jim's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure
Average tenure and age of the MGM Resorts International management team in years:
6.4
Average Tenure
55
Average Age
- The average tenure for the MGM Resorts International management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Jim Murren
TITLE
Chairman & CEO
COMPENSATION
$13M
AGE
56
TENURE
10.4 yrs
Bill Hornbuckle
TITLE
President & COO
COMPENSATION
$6M
AGE
60
TENURE
6.4 yrs
Corey Sanders
TITLE
CFO & Treasurer
COMPENSATION
$6M
AGE
54
TENURE
0.2 yrs
John McManus
TITLE
Executive VP
COMPENSATION
$3M
AGE
51
TENURE
10.8 yrs
Robert Selwood
TITLE
Executive VP & Chief Accounting Officer
COMPENSATION
$1M
AGE
62
TENURE
11.8 yrs
Catherine Park
TITLE
Executive Director of Investor Relations
TENURE
4.3 yrs
Andrew Hagopian
TITLE
Chief Corporate Counsel & Assistant Secretary
TENURE
2.4 yrs
Brian Ahern
TITLE
Director of Media Relations
Lilian Tomovich
TITLE
Chief Experience & Marketing Officer
AGE
50
Michelle DiTondo
TITLE
Senior VP & Chief Human Resources Officer
Board of Directors Tenure
Average tenure and age of the MGM Resorts International board of directors in years:
7.8
Average Tenure
61
Average Age
- The tenure for the MGM Resorts International board of directors is about average.
Board of Directors
Jim Murren
TITLE
Chairman & CEO
COMPENSATION
$13M
AGE
56
TENURE
10.4 yrs
Alexis Herman
TITLE
Director
COMPENSATION
$307K
AGE
70
TENURE
17.3 yrs
Roland Hernandez
TITLE
Lead Independent Director
COMPENSATION
$367K
AGE
60
TENURE
9.3 yrs
Rose McKinney-James
TITLE
Director
COMPENSATION
$317K
AGE
66
TENURE
14.3 yrs
Greg Spierkel
TITLE
Director
COMPENSATION
$307K
AGE
61
TENURE
6.1 yrs
Dan Taylor
TITLE
Director
COMPENSATION
$288K
AGE
61
TENURE
12.2 yrs
Bill Grounds
TITLE
Director
COMPENSATION
$13K
AGE
62
TENURE
6.3 yrs
Chris Gay
TITLE
Director
COMPENSATION
$296K
AGE
50
TENURE
5.3 yrs
John Kilroy
TITLE
Director
COMPENSATION
$288K
AGE
69
TENURE
2.3 yrs
Jan Swartz
TITLE
Director
COMPENSATION
$316K
AGE
48
TENURE
1.2 yrs
Who owns this company?
Recent Insider Trading
- More shares have been bought than sold by MGM Resorts International insiders in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 10. May 19 | Buy | Paul Salem | Individual | 08. May 19 | 08. May 19 | 800,000 | $25.40 | $20,322,240 | ||
| 09. Mar 19 | Buy | William Grounds | Individual | 07. Mar 19 | 07. Mar 19 | 1,145 | $26.27 | $30,075 | ||
| 07. Mar 19 | Buy | Mary Gay | Individual | 06. Mar 19 | 06. Mar 19 | 3,700 | $27.27 | $100,886 | ||
| 07. Nov 18 | Sell | Robert Baldwin | Individual | 02. Nov 18 | 02. Nov 18 | -108,000 | $28.15 | $-3,040,060 | ||
| 02. Nov 18 | Sell | Phyllis James | Individual | 02. Nov 18 | 02. Nov 18 | -15,815 | $28.26 | $-446,886 | ||
| 17. Aug 18 | Sell | Alexis Herman | Individual | 16. Aug 18 | 16. Aug 18 | -1,750 | $28.28 | $-49,490 | ||
| 06. Aug 18 | Sell | Alexis Herman | Individual | 06. Aug 18 | 06. Aug 18 | -3,500 | $28.85 | $-100,975 | ||
| 07. Jun 18 | Sell | Mary Gay | Individual | 05. Jun 18 | 05. Jun 18 | -1,585 | $30.94 | $-49,045 | ||
| 04. Jun 18 | Sell | Rose McKinney-James | Individual | 01. Jun 18 | 01. Jun 18 | -5,624 | $31.89 | $-179,330 | ||
X
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.
Management checks
We assess MGM Resorts International's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) MGM Resorts International 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.
Company Info
Description
MGM Resorts International, through its subsidiaries, owns and operates integrated casino, hotel, and entertainment resorts in the United States and Macau. The company operates through three segments: Las Vegas Strip Resorts, Regional Operations, and MGM China. Its casino resorts offer gaming, hotel, convention, dining, entertainment, retail, and other resort amenities. The company’s casino operations include slots, table games, and race and sports book wagering. As of February 27, 2019, its portfolio consisted of 29 hotel and destination gaming offerings. The company also owns and operates Shadow Creek golf course, Primm Valley Golf Club, and Fallen Oak golf course. Its 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 founded in 1986 and is based in Las Vegas, Nevada.
Details
| Name: | MGM Resorts International |
| 0JWC | |
| Exchange: | LSE |
| Founded: | 1986 |
| $13,720,120,742 | |
| 537,201,282 | |
| Website: | http://www.mgmresorts.com |
| Address: |
MGM Resorts International 3600 Las Vegas Boulevard South, Las Vegas, Nevada, 89109, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | MGM | Common Stock | New York Stock Exchange | US | USD | 02. May 1988 | |
| DB | MGG | Common Stock | Deutsche Boerse AG | DE | EUR | 02. May 1988 | |
| LSE | 0JWC | Common Stock | London Stock Exchange | GB | USD | 02. May 1988 | |
| BMV | MGM * | Common Stock | Bolsa Mexicana de Valores | MX | MXN | 02. May 1988 |
Number of employees
Current staff
74,500
MGM Resorts International
employees.
Industry
| Casinos and Gaming | |
| Consumer Services |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/05/25 22:17 |
| End of day share price update: | 2019/05/14 00:00 |
| Last estimates confirmation: | 2019/05/22 |
| Last earnings filing: | 2019/05/07 |
| Last earnings reported: | 2019/03/31 |
| 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.
