MGM Resorts Stock: Is MGM Outperforming the Consumer Discretionary Sector?

Company Overview - MGM Resorts International (MGM) is valued at a market cap of $10.2 billion and operates a portfolio of integrated resort properties in Las Vegas, combining luxury hotels, casino gaming, and various entertainment experiences [1] Market Position - MGM is classified as a "large-cap stock" due to its market cap exceeding $10 billion, highlighting its size and influence in the resorts and casinos industry [2] - The company is expanding its digital presence through sports betting and online gaming, positioning itself to benefit from increased travel demand and the growth of legalized gaming [2] Stock Performance - MGM's shares are currently trading 9.5% below their 52-week high of $41.32, reached on February 14, and have gained 4.9% over the past three months, outperforming the State Street Consumer Discretionary Select Sector SPDR ETF (XLY), which rose by 1.2% [3] - Over the past 52 weeks, MGM's stock has increased by 3.1%, slightly trailing XLY's 3.4% increase, while year-to-date (YTD) shares are up 7.9%, compared to XLY's 8.5% return [4] Recent Financial Results - On October 29, MGM reported mixed Q3 results, with total revenue increasing by 2% year-over-year to $4.3 billion, slightly surpassing consensus estimates. However, adjusted EPS of $0.24 declined by 55.6% from the previous year and fell short of Wall Street expectations of $0.37 [5] Competitive Landscape - MGM has underperformed compared to its rival, Las Vegas Sands Corp. (LVS), which saw a 24.4% increase over the past 52 weeks and a 30.4% increase YTD [6] - Analysts maintain a moderately optimistic outlook for MGM, with a consensus rating of "Moderate Buy" and a mean price target of $42, indicating a 12.4% premium to its current price levels [6]