---
title: MGM Resorts (MGM) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/mgm
ticker: MGM
as_of: 2026-10-17
sector: Consumer Cyclical
industry: Gambling, Resorts & Casinos
---
# MGM Resorts (MGM)

MGM Resorts (MGM) closed at $28.60 on Oct 16, 2026, undervalued by 72% vs its model value of $101.36 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $28.60 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $101.36 |
| Price vs model | undervalued by 72% vs model |
| Range of that model | $63.52 – $231.70 |
| Market value | $7.2B |
| P/E (fiscal 2025) | 37.6 |
| Net margin (fiscal 2025) | 1.2% |
| Free cash flow (fiscal 2025) | $1.5B |
| Dividend yield (trailing twelve months) | 0.00% |
| Beta | 1.35 |
| Cost of capital (WACC) | 7.93% |
| Business classification | Cyclical (Low/slowing growth (~4% recent), Decelerated from ~28% 5y CAGR, Thin margins (1.2% net margin), Highly cyclical earnings, High leverage (D/E 2.6x), Strong FCF yield (20.3%)) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Highest free cash flow yield | #6 | 20.3% | https://sweetvaluelab.com/lists/highest-free-cash-flow-yield |
| Near 52-week lows | #1 | 0.0% | https://sweetvaluelab.com/lists/near-52-week-lows |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $101.36 | $63.52 | $231.70 |
| DCF · Perpetuity growth · 10y | cross check | $100.28 | $65.32 | $218.26 |
| DCF · EBITDA exit · 5y | cross check | $88.79 | $50.40 | $134.26 |
| DCF · EBITDA exit · 10y | cross check | $91.07 | $56.42 | $137.95 |
| P/E · peers | cross check | $17.14 | $12.54 | $17.54 |
| P/E · own history | cross check | $17.59 | $15.98 | $20.40 |
| PEG | sanity check | $45.23 | $45.23 | $45.23 |
| EV/EBITDA · peers | cross check | $49.12 | $48.41 | $62.48 |
| EV/Revenue · peers | cross check | $106.79 | $85.11 | $166.19 |
| Earnings power value | cross check | $57.56 | $46.02 | $74.49 |
| Dividend discount | cross check | $0.00 | $0.00 | $0.00 |

## Insider activity (SEC Form 4)

No open-market insider buys or sales filed in the past 90 days.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Oct 7, 2026 | Fritz Gary M | President, Interactive | Option/RSU exercise | 12,166 | $0 |
| Oct 7, 2026 | Fritz Gary M | President, Interactive | Tax withholding | 4,858 | $145,740 |
| Oct 7, 2026 | Fritz Gary M | President, Interactive | Option/RSU exercise | 12,166 | $0 |
| Oct 7, 2026 | Halkyard Jonathan S | CHIEF FINANCIAL OFFICER | Option/RSU exercise | 8,921 | $0 |
| Oct 7, 2026 | Halkyard Jonathan S | CHIEF FINANCIAL OFFICER | Option/RSU exercise | 8,921 | $0 |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Jul 29, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/789570/000078957026000076/mgm-20260630.htm |
| Jul 29, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/789570/000078957026000075/mgm-20260729.htm |
| May 14, 2026 | 8-K | 1.01 Entry into a Material Agreement; 2.03 Creation of a Direct Financial Obligation; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/789570/000119312526224106/d134850d8k.htm |
| May 8, 2026 | 8-K | 5.07 Submission of Matters to a Shareholder Vote | https://www.sec.gov/Archives/edgar/data/789570/000078957026000037/mgm-20260506.htm |
| Apr 29, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/789570/000078957026000035/mgm-20260331.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Christopher Davis | 2026-06-30 | 23,903,317 | $1.1B |
| Mason Hawkins | 2026-06-30 | 1,169,513 | $55.9M |
| Thomas Gayner | 2026-06-30 | 87,500 | $4.2M |
| Bridgewater | 2026-06-30 | 60,791 | $2.9M |

6 tracked managers in all.

## About

MGM Resorts International, through its various divisions, manages and possesses casino, lodging, and entertainment complexes across the United States and Macau. The company's operations are segmented into three main areas: Las Vegas Strip Resorts, Regional Operations, and MGM China. Its resort properties offer a comprehensive suite of amenities including gaming facilities, accommodation, convention spaces, dining options, entertainment venues, retail outlets, and more. Beyond traditional slots and table games, its casino activities also encompass online sports wagering and iGaming through its BetMGM platform. As of February 17, 2021, its extensive portfolio comprised 29 distinct hotel and gaming destinations. Notable assets include its properties on the Las Vegas Strip and the Fallen Oak golf course. The company caters to a diverse clientele, including high-stakes gamblers, vacationers,…

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Source: https://sweetvaluelab.com/stocks/mgm (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.