Casino Stock Winners and Losers: MGM Mirage

MGM Mirage shares rise as Kirk Kerkorian increases his stake and a JPMorgan analyst raises his price target.
Publish date:

Updated from 11:07 a.m. EDT

MGM Mirage

(MGM) - Get Report

shares surged Monday on an analyst upgrade and news that billionaire majority stake holder Kirk Kerkorian's investment vehicle bought 14.3 million shares.

MGM shares closed up 14% to $8.74.

Before the purchase at $7 a share, Kekorian's Tracinda Corp. had held a 53.8% stake in the casino operator. That stake is now about 42%, reduced by a recent stock offering that raised $1 billion.

Joseph Greff of JPMorgan upgraded the stock to overweight from neutral and raised his year-end price target to $11 from $9. Greff cited MGM's improved liquidity following last week's

$2.5 billion capital-raising

and the "view that sell-side/buy-side investor expectations for MGM's same-store LV Strip portfolio for '09-'10 are really low and there is an almost uniformly negative expectation for



Elsewhere among casino stocks, shares of

Las Vegas Sands

(LVS) - Get Report

closed higher by 11.6% to $10.30.

Wynn Entertainment

(WYNN) - Get Report

was up 9.2% to $41.40.

Boyd Gaming

(BYD) - Get Report

finished up 12.6% to $10.67.

Penn National Gaming

(PENN) - Get Report

was up 5.6% to $32.07.

Melco Crown Entertainment


was up 6.4% to $5.81.

Ameristar Casinos


finished up 6.9% to $20.06.

Isle of Capri Casinos


was up 7.3% to $12.73.