MGM Resorts Stock Price Target Cut at Goldman Sachs

NEW YORK (TheStreet) -- MGM Resorts International (MGM) stock price target was lowered by analysts at Goldman Sachs to $21 from $22.

This action follows the company's release of mixed first quarter results in early May. The company reported revenue of $2.33 billion for the first quarter, or 33 cents per share, compared to revenue of $2.6 billion, or 22 cents per share in the same quarter last year.

The hospitality company was expected to earn 13 cents per share on revenue of $2.4 billion, according to analysts polled by Thomson Reuters.

"MGM China has been a tremendous investment for our company," CEO Jim Murren said.

"And while the market is currently going through obviously its only challenges, we are confident that our investments in Macau will continue to benefit our employees, the citizens of Macau and our company," he added.

MGM Resorts, headquartered in Nevada, is a hospitality and entertainment company.

Shares of MGM Resorts are increasing 0.98 % to $19.66 in afternoon trading on Monday.

TheStreet Ratings team rates MGM RESORTS INTERNATIONAL as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

"We rate MGM RESORTS INTERNATIONAL (MGM) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, increase in net income and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, a generally disappointing performance in the stock itself and generally higher debt management risk."

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