MGM Resorts (MGM) PT Raised to $57 at Deutsche Bank

Deutsche Bank analyst Carlo Santarelli raised the price target on MGM Resorts (NYSE: MGM) to $57.00 (from $53.00) while maintaining a Buy rating.

The analyst comments "While the results were, as always, important, we felt, with respect to this call specifically, management commentary would likely take a more pronounced roll as it related to near term stock action. In general, we felt management favorably answered the more pressing questions, specifically when noting; 1) Las Vegas EBITDAR is expected to grow over the 2Q-4Q24 period, 2) Macau market share is expected to remain firm in the mid to high teens, 3) the Marriott partnership is delivering above initial expectations, adding ~$150 per room night versus ~$100 as previously anticipated, 4) cash flow remains a focus and capital returns remain a key tenet of the story, despite the pipeline capex needs likely eating into some of the returns later in the year, and 5) regionals remain broadly stable. Given the current investment environment around gaming, we think the print itself served as a bit of a relief for investors, as domestic results were largely favorable, relative to our forecasts, while Macau came in materially better, which was somewhat expected. We think the print was good enough to allow shares to migrate higher, especially considering the QTD performance thus far (-15.8% vs SPX -4.5%)."

You May Also Be Interested In

• Nokia OYJ (NOKIA:FH) (NOK) PT Raised to EUR18 at JPMorgan
• RLJ Lodging Trust (RLJ) PT Raised to $10 at Truist Securities
• Adobe (ADBE) PT Lowered to $379 at Bernstein SocGen Amid 'Increased Uncertainties'