NasdaqGS:MLCO

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Executive Summary

The Company, with its American depositary shares listed on the Nasdaq Global Select Market (Nasdaq: MLCO), is a developer, owner and operator of integrated resort facilities in Asia and Europe. More Details


Snowflake Analysis

Exceptional growth potential with worrying balance sheet.


Similar Companies

Share Price & News

How has Melco Resorts & Entertainment's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MLCO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: MLCO's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

-1.4%

MLCO

1.2%

US Hospitality

-0.5%

US Market


1 Year Return

-17.5%

MLCO

-12.3%

US Hospitality

18.3%

US Market

Return vs Industry: MLCO underperformed the US Hospitality industry which returned -11% over the past year.

Return vs Market: MLCO underperformed the US Market which returned 19.1% over the past year.


Shareholder returns

MLCOIndustryMarket
7 Day-1.4%1.2%-0.5%
30 Day13.7%9.4%3.6%
90 Day-6.5%16.0%5.6%
1 Year-16.8%-17.5%-11.0%-12.3%21.0%18.3%
3 Year-25.9%-30.3%-6.3%-12.4%45.2%35.6%
5 Year37.5%12.4%33.1%19.9%89.8%68.8%

Long-Term Price Volatility Vs. Market

How volatile is Melco Resorts & Entertainment's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Melco Resorts & Entertainment undervalued compared to its fair value and its price relative to the market?

6.8x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: MLCO ($18.78) is trading above our estimate of fair value ($4.7)

Significantly Below Fair Value: MLCO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: MLCO is unprofitable, so we can't compare its PE Ratio to the US Hospitality industry average.

PE vs Market: MLCO is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate MLCO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: MLCO is overvalued based on its PB Ratio (7x) compared to the US Hospitality industry average (2.5x).


Next Steps

Future Growth

How is Melco Resorts & Entertainment forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

119.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MLCO is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: MLCO is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: MLCO's is expected to become profitable in the next 3 years.

Revenue vs Market: MLCO's revenue (32.6% per year) is forecast to grow faster than the US market (10.2% per year).

High Growth Revenue: MLCO's revenue (32.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MLCO's Return on Equity is forecast to be high in 3 years time (21.7%)


Next Steps

Past Performance

How has Melco Resorts & Entertainment performed over the past 5 years?

-24.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MLCO is currently unprofitable.

Growing Profit Margin: MLCO is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MLCO is unprofitable, and losses have increased over the past 5 years at a rate of 24% per year.

Accelerating Growth: Unable to compare MLCO's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: MLCO is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-53.8%).


Return on Equity

High ROE: MLCO has a negative Return on Equity (-55.32%), as it is currently unprofitable.


Next Steps

Financial Health

How is Melco Resorts & Entertainment's financial position?


Financial Position Analysis

Short Term Liabilities: MLCO's short term assets ($2.2B) exceed its short term liabilities ($1.3B).

Long Term Liabilities: MLCO's short term assets ($2.2B) do not cover its long term liabilities ($5.8B).


Debt to Equity History and Analysis

Debt Level: MLCO's debt to equity ratio (274.1%) is considered high.

Reducing Debt: MLCO's debt to equity ratio has increased from 79% to 274.1% over the past 5 years.

Debt Coverage: MLCO's debt is not well covered by operating cash flow (14.8%).

Interest Coverage: Insufficient data to determine if MLCO's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Melco Resorts & Entertainment current dividend yield, its reliability and sustainability?

1.45%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate MLCO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate MLCO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MLCO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MLCO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: MLCO is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MLCO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

9.6yrs

Average management tenure


CEO

Lawrence Ho (43 yo)

15.92yrs

Tenure

Mr. Yau Lung Ho, also known as Lawrence, has been Executive Director of Melco Resorts & Entertainment Limited (formerly known as, Melco Crown Entertainment Limited) since December 20, 2004 and served as th...


CEO Compensation Analysis

Compensation vs Market: Lawrence's total compensation ($USD0.00) is below average for companies of similar size in the US market ($USD7.11M).

Compensation vs Earnings: Lawrence's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Yau Lung Ho
Founder15.92yrsno data0.61%
$ 53.5m
Evan Winkler
President & Director4.25yrsno datano data
Geoffrey Stuart Davis
Executive VP & CFO9.58yrsno datano data
Heather A. Rollo
Senior VP & Chief Accounting Officerno datano datano data
Richard Huang
Director of Investor Relationsno datano datano data
Stephanie Cheung
Executive VP11.92yrsno datano data
Chimmy Leung
Executive Director of Corporate Communicationsno datano datano data
Maggie Ma
Chief Government Affairs Officerno datano datano data
Akiko Takahashi
Executive VP and Chief of Staff to Chairman & CEO11.92yrsno datano data
Jaya Jesudason
Executive Vice President of Construction & Designno datano datano data
Frederic Jean-Marie Winckler
Executive VP and Chief Creative & Brand Officer1.83yrsno datano data
Kevin Benning
Senior VP & COO at City of Dreams Manila2.83yrsno datano data

9.6yrs

Average Tenure

51yo

Average Age

Experienced Management: MLCO's management team is seasoned and experienced (9.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Yau Lung Ho
Founder15.92yrsno data0.61%
$ 53.5m
Evan Winkler
President & Director4.25yrsno datano data
Francesca Galante
Independent Non-Executive Director2.17yrsno datano data
Yiu Wa Tsui
Independent Non-Executive Director13.92yrsUS$559.00kno data
Jefferson Wu
Independent Non-Executive Director13.92yrsUS$232.00kno data
John William Crawford
Independent Non-Executive Director3.83yrsno datano data
Yuk Man Chung
Non-Executive Director14yrsUS$1.26mno data

13.9yrs

Average Tenure

48yo

Average Age

Experienced Board: MLCO's board of directors are seasoned and experienced ( 13.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.7%.


Top Shareholders

Company Information

Melco Resorts & Entertainment Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Melco Resorts & Entertainment Limited
  • Ticker: MLCO
  • Exchange: NasdaqGS
  • Founded: 2004
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: US$8.709b
  • Shares outstanding: 476.95m
  • Website: https://www.melco-resorts.com

Number of Employees


Location

  • Melco Resorts & Entertainment Limited
  • The Centrium
  • 36th Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MLCONasdaqGS (Nasdaq Global Select)YesSPON ADR EACH REP 3 ORD SHSUSUSDDec 2006
MASDB (Deutsche Boerse AG)YesSPON ADR EACH REP 3 ORD SHSDEEURDec 2006
MLCO NBMV (Bolsa Mexicana de Valores)YesSPON ADR EACH REP 3 ORD SHSMXMXNDec 2006
0A2PLSE (London Stock Exchange)YesSPON ADR EACH REP 3 ORD SHSGBUSDDec 2006

Biography

The Company, with its American depositary shares listed on the Nasdaq Global Select Market (Nasdaq: MLCO), is a developer, owner and operator of integrated resort facilities in Asia and Europe. The Company...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/24 00:00
End of Day Share Price2020/11/23 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.