MGM Resorts International
Find Ratings ReportsMGM RESORTS INTERNATIONAL's gross profit margin for the fourth quarter of its fiscal year 2023 has decreased when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its subsector this quarter as compared to the same quarter a year ago. MGM RESORTS INTERNATIONAL has average liquidity. Currently, the Quick Ratio is 1.41 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has decreased by 21.11% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
---|---|---|
Net Sales ($mil) | 4375.56 | 3592.22 |
EBITDA ($mil) | 619.28 | 396.28 |
EBIT ($mil) | 413.98 | -1025.36 |
Net Income ($mil) | 314.21 | 265.47 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 3347.54 | 6196.6 |
Total Assets ($mil) | 42368.55 | 45692.21 |
Total Debt ($mil) | 31640.82 | 34083.17 |
Equity ($mil) | 3811.17 | 4831.53 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 45.71 | 48.42 |
EBITDA Margin | 14.15 | 11.03 |
Operating Margin | 9.46 | -28.54 |
Sales Turnover | 0.38 | 0.29 |
Return on Assets | 2.7 | 3.15 |
Return on Equity | 30.03 | 29.83 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.57 | 1.81 |
Debt/Capital | 0.89 | 0.88 |
Interest Expense | 106.88 | 137.13 |
Interest Coverage | 3.87 | -7.48 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 326.55 | 379.09 |
Div / share | 0.0 | 0.0 |
EPS | 0.92 | 0.69 |
Book value / share | 11.67 | 12.75 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 4232737.0 | 5041150.0 |
BUY. MGM RESORTS INTERNATIONAL's P/E ratio indicates a significant discount compared to an average of 29.44 for the Accommodation subsector and a significant discount compared to the S&P 500 average of 27.95. To use another comparison, its price-to-book ratio of 3.66 indicates a discount versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 9.62. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. Upon assessment of these and other key valuation criteria, MGM RESORTS INTERNATIONAL proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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MGM 13.49 | Peers 29.44 | MGM 5.14 | Peers 21.25 | |||||||||||||||||||||
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. MGM is trading at a significant discount to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. MGM is trading at a significant discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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MGM 15.01 | Peers 23.10 | MGM NM | Peers 0.87 | |||||||||||||||||||||
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations. MGM is trading at a discount to its peers. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. MGM's negative PEG ratio makes this valuation measure meaningless. |
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Price/Book |
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Earnings Growth |
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MGM 3.66 | Peers 9.62 | MGM -6.22 | Peers 89.27 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. MGM is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, MGM is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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MGM 0.86 | Peers 5.10 | MGM 23.13 | Peers 38.74 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. MGM is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. MGM significantly trails its peers on the basis of sales growth. |
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