MGM Resorts International (MGM): Today's Featured Leisure Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

MGM Resorts International ( MGM) pushed the Leisure industry higher today making it today's featured leisure winner. The industry as a whole was unchanged today. By the end of trading, MGM Resorts International rose $0.44 (3.0%) to $15.14 on heavy volume. Throughout the day, 23,459,710 shares of MGM Resorts International exchanged hands as compared to its average daily volume of 11,083,300 shares. The stock ranged in a price between $14.68-$15.33 after having opened the day at $14.83 as compared to the previous trading day's close of $14.70. Other companies within the Leisure industry that increased today were: Ctrip.com International ( CTRP), up 25.8%, Orbitz Worldwide ( OWW), up 21.2%, Cosi ( COSI), up 9.4% and Empire Resorts ( NYNY), up 5.2%.
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MGM Resorts International, through its wholly owned subsidiaries, owns and/or operates casino resorts. The company operates in two segments, Wholly Owned Domestic Resorts and MGM China. Its resorts offer gaming, hotel, convention, dining, entertainment, retail, and other resort amenities. MGM Resorts International has a market cap of $7.2 billion and is part of the services sector. Shares are up 26.3% year to date as of the close of trading on Wednesday. Currently there are 9 analysts that rate MGM Resorts International a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates MGM Resorts International as a sell. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity and generally high debt management risk.

On the negative front, Pizza Inn Holdings ( PZZI), down 32.9%, MTR Gaming Group ( MNTG), down 3.9%, Chanticleer Holdings ( HOTR), down 3.9% and Dover Downs Gaming & Entertainment ( DDE), down 3.1% , were all laggards within the leisure industry with Panera Bread Company ( PNRA) being today's leisure industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the leisure industry could consider PowerShares Dynamic Leisure&Entert ( PEJ) while those bearish on the leisure industry could consider ProShares Ultra Sht Consumer Services ( SCC).

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