Goldman Sachs Maintains Bullish Stance on MGM Resorts (MGM)
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Price: $44.10 --0%
Rating Summary:
23 Buy, 15 Hold, 4 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 7 | Down: 12 | New: 19
Rating Summary:
23 Buy, 15 Hold, 4 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 7 | Down: 12 | New: 19
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Goldman Sachs trimmed estimates but reiterated their Buy rating and $18 price target on MGM Mirage (NYSE: MGM) Thursday following the announced transaction that appears to facilitate the announced MGM Macau IPO.
Goldman said while the stock reacted favorably, for momentum to be sustained, a Vegas recovery needs to play out.
"We acknowledge that this turnaround story has made many twists and turns over the past 16 months since we raised our rating to Buy, but we still believe that MGM is one of the most leveraged ways to invest in an improving domestic economy that benefits from improving business and vacation travel," said analyst Steven Kent. "We are seeing a number of macro and micro indicators that suggest this is occurring, but acknowledge that any economic improvement is not likely to be a” straight line up and to the right."
The firm's 2011-2013 EBITDA estimates go to $1.26 billion, $1.51 billion and $1.77 billion from $1.34 billion, $1.56 billion and $1.76 billion, respectively. 2011E-2013E EPS estimates go to -$0.62, -$0.33 and $0.04 from -$0.58, -$0.34 and $0.10, respectively.
For more ratings news on MGM Mirage click here and for the rating history of MGM Mirage click here.
Shares of MGM Mirage closed at $13.70 yesterday.
Goldman said while the stock reacted favorably, for momentum to be sustained, a Vegas recovery needs to play out.
"We acknowledge that this turnaround story has made many twists and turns over the past 16 months since we raised our rating to Buy, but we still believe that MGM is one of the most leveraged ways to invest in an improving domestic economy that benefits from improving business and vacation travel," said analyst Steven Kent. "We are seeing a number of macro and micro indicators that suggest this is occurring, but acknowledge that any economic improvement is not likely to be a” straight line up and to the right."
The firm's 2011-2013 EBITDA estimates go to $1.26 billion, $1.51 billion and $1.77 billion from $1.34 billion, $1.56 billion and $1.76 billion, respectively. 2011E-2013E EPS estimates go to -$0.62, -$0.33 and $0.04 from -$0.58, -$0.34 and $0.10, respectively.
For more ratings news on MGM Mirage click here and for the rating history of MGM Mirage click here.
Shares of MGM Mirage closed at $13.70 yesterday.
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