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MGM Resorts International (MGM) is drawing attention from the Escape Solar and Storage Project in Nevada to supply 115 megawatts of solar power and 400 megawatt-hours of battery storage to meet its Las Vegas Strip’s daytime power needs.
Check out our latest analysis for MGM Resorts International.
MGM’s share price traded at $33.34 with a 90-day share price return of 4.09% while Clean Energy moved 1-year total shareholder return down 3.50%, suggesting recent momentum has improved even as long-term returns remain muted.
If this shift toward renewable energy has you wondering where else the shift could create upside, it might be worth scanning fast-growing stocks with high insider ownership for other under-the-radar ideas.
With MGM shares at $33.34, recent 90-day gains against weak 1-year and 3-year returns, and some indicators suggesting a discount, the key question is whether this is a real opportunity or if the market is already pricing in future growth?
In the most-followed view, MGM Resorts International is valued at $42.56 per share, up from its last close of $33.34 and framing a valuation gap that depends on how well its growth plans play out.
Operational discipline through an asset-light model, increased automation, targeted cost savings, and focus on high-margin premium segments are expected to structurally improve net margins and ROI, further supporting strong earnings growth as these strategies scale.
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Curious what kind of earnings trajectory and margin lift underpins the $42.56 mark, and how sensitive it is to future profit multiples and buybacks? The full statement covers today’s value with a revenue glide path, margin estimates and valuation math in clear, concrete steps with a high fair value line.
Result: Undervalued at $42.56
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However, there are clear watchpoints, including pressure on physical visits and heavy cash demands of long-dated projects such as Osaka and Dubai, which could strain flexibility.
Find out about the major risks in this MGM Resorts International story.
Here is the tension. While the SWS model indicates MGM trading 41.7% below its fair value, the P/E picture looks very different. At roughly 135.7x earnings versus 15.5x for peers, 21.5x for the US hospitality group and a fair ratio of 39.6x, the stock screens expensive, not cheap. Is this a sign that the market is already baking in a lot of corrections in the future?
