Core Thesis - MGM Resorts International presents a compelling investment opportunity driven by multiple near- and long-term catalysts despite a temporary slowdown in Las Vegas tourism and room remodels at MGM Grand in 2025 [1] Share Buybacks and Earnings - MGM is aggressively buying back 7-8% of its shares annually, funded by a business generating a 14.2% Owner Earnings yield [2] - BetMGM, the company's digital sports betting and iGaming joint venture, turned profitable in 2025, distributing $100 million back to MGM and setting the stage for $125-200 million in cash distributions in 2026 [2] Near-Term Catalysts - The Northfield Park sale, closing in the first half of 2026, will inject $420 million of proceeds for share repurchases [3] - Stabilization of Las Vegas Strip operations is expected as MGM Grand's remodels are completed, conventions return, and RevPAR growth resumes [3] - MGM China's ongoing recovery continues to provide $200-300 million in annual dividends, further funding capital returns [3] Long-Term Potential - MGM's 42.5% stake in Osaka represents a future $350-450 million annual Owner Earnings contribution, supported by monopoly positioning and a lower tax rate relative to Macau [4] - GAAP net income is expected to swing from loss to profit in 2026 as one-time charges abate, attracting investor attention [4] Valuation and Target Price - At the current share price, MGM trades at roughly 7x Owner Earnings with significant buyback acceleration underway [5] - With stabilized core operations, growing digital cash flows, and Osaka's long-term potential, MGM Resorts offers an attractive risk/reward profile with a bullish target of Buy up to $46 per share [5] Historical Context - MGM's stock price has appreciated by approximately 38.25% since previous bullish coverage, highlighting its asset-light transition, strong brand, and disciplined buybacks [6]

经济观察网 里昂证券发布研究报告，预测澳门2026年2月博彩总收入将同比增长7.4%，略低于市场预 期。报告基于黄金周旅客数据及实地考察给出行业首选建议。 深圳太子湾美高梅酒店计划于2026年启幕，定位为沉浸式奢华体验项目，毗邻蛇口邮轮母港，旨在强化 粤港澳大湾区布局。该消息于2026年2月22日由文旅深圳报道，可能间接反映公司区域扩张战略。此 外，澳门大学于2026年2月27日公布的招聘讲座信息中提及美高梅参与校园招聘，显示公司人才储备活 动。 以上内容基于公开资料整理，不构成投资建议。 股票近期走势 美高梅中国(02282.HK)近一周股价承压，截至2026年2月27日最新收盘价为12.52港元，5日累计跌幅达 7.05%，区间振幅为9.50%。同期，美高梅(MGM.N)在美股表现相对强劲，最新收盘价为37.62美元，5 日累计上涨3.18%，2月26日单日涨幅达5.79%。港股博彩板块近期整体波动，需关注市场情绪变化。 近期事件 机构观点 里昂证券于2026年2月23日发布研究报告，预测澳门2026年2月博彩总收入将同比增长7.4%，略低于市 场预期中位数的10.5%。报告指出，澳门农历新年黄金周前五天 ...

Core Insights - MGM Resorts International and BetMGM have committed over $1 million to responsible gaming initiatives during Problem Gambling Awareness Month, with a focus on research, public awareness, and community partnerships [1] Group 1: Financial Commitment - The companies have allocated $450,000 to the International Center for Responsible Gaming for a new research initiative on sports wagering and its impact on player behavior [1] - Over the next three years, the research will explore factors influencing sports betting behaviors and prevention efforts [1] Group 2: Community and State Support - In 2026, MGM Resorts and BetMGM will contribute over $850,000 to organizations focused on problem gambling prevention and responsible gaming measures [1] - MGM Resorts will sponsor the annual Nevada Council on Problem Gambling Conference and provide training sessions for employees [1] Group 3: Employee Engagement and Training - The companies will enhance responsible gaming messaging through their GameSense program across various platforms [1] - Over 2,000 team members are now certified as GameSense Advisors to engage guests in responsible gaming conversations [1] Group 4: New Campaigns and Initiatives - A new campaign titled "Earn More. Play Smart." will be launched, integrating responsible play messaging with MGM Rewards [1] - BetMGM will continue airing a responsible gaming commercial featuring ambassador Connor McDavid during key sports broadcasts [1] Group 5: Ongoing Partnerships - MGM Resorts and BetMGM will maintain their partnership with the American Gaming Association's responsible gaming initiatives [1] - Employees will receive comprehensive training on responsible gaming, and a social media campaign will feature executive insights on the topic [1]

Core Viewpoint - The recent stock price volatility of MGM China (02282.HK) is directly related to the controversy surrounding the increase in licensing and branding fees imposed by its parent company, MGM International (MGM.N) [1] Group 1: Stock Price Movement - On December 29, 2025, Morgan Stanley reported that starting in 2026, MGM China will increase its licensing fee from 1.75% to 3.5% of monthly net revenue, resulting in an additional annual cost of HKD 1.2 billion [1] - Following this announcement, MGM China's stock price plummeted by 17%, closing at HKD 12.91, with a market value loss of approximately HKD 10.2 billion and trading volume surging to HKD 610 million, an increase of 8-9 times compared to usual [1] Group 2: Reasons for Stock Price Fluctuation - The fee increase is based on MGM China's performance improvement, with a projected 1.7 times increase in market share of total gaming revenue by 2025, reaching 16.2%, and a 1.6 times increase in adjusted EBITDAR to USD 1.203 billion [2] - The payment is directed to MGM B&D, a non-listed entity jointly owned by MGM International and Pansy Ho, with Citic Securities acknowledging the rationale behind the adjustment but noting insufficient communication exacerbated negative market sentiment [2] Group 3: Market Reaction - Morgan Stanley estimates that the increased fees will account for 15.2% of MGM China's EBITDA in 2026, significantly higher than competitors like Sands China (approximately 5%) and Galaxy Entertainment (zero), leading to valuation discounts [2] - Despite MGM China's price-to-earnings ratio being only 11.4 times (compared to Galaxy Entertainment's 17 times), investor sentiment remains cautious due to perceived prioritization of parent company interests [2] Group 4: Institutional Perspectives - Institutional focus has shifted to dividend policies, with Citic Securities suggesting that increasing the dividend payout ratio from 50% to over 53% could mitigate the impact of rising costs, which is considered a manageable threshold [4] - In January 2026, Macau's gaming revenue increased by 24% year-on-year to MOP 22.6 billion, with mass market revenue accounting for 70-75%, supporting the industry's fundamental profitability recovery [4] Group 5: Future Developments - The fee controversy highlights issues regarding corporate governance transparency, and further increases in licensing fees or unmet dividend expectations may continue to suppress valuations [5] - The Macau gaming industry faces macro risks such as regulatory policies and intensified competition [5]

Core Insights - The inaugural Drink Las Vegas festival will take place from September 24 to 27, 2026, hosted by MGM Resorts International, featuring renowned beverage and culinary experts [1] - The festival aims to celebrate modern beverage culture through over 50 dynamic events, including education sessions, tasting experiences, and brand showcases [1] Group 1: Event Overview - Drink Las Vegas will span four luxury resorts on the Las Vegas Strip, including Bellagio, ARIA, The Cosmopolitan of Las Vegas, and Park MGM [1] - The festival will feature VIP and premium experiences, speakeasy takeovers, education sessions, panels, master classes, signature cocktail events, intimate dining experiences, and signature tastings [1] Group 2: Industry Collaboration - The event is organized in collaboration with experiential event agency a21 and sports management agency PRP, highlighting the intersection of mixology, wine, spirits, and culinary innovation [1] - The festival aims to set a new standard for how beverage culture is celebrated, bringing together industry leaders and innovators [1] Group 3: Company Background - MGM Resorts International is a global gaming and entertainment company with a portfolio of 31 unique hotel and gaming destinations, recognized for creating immersive experiences [1] - a21 specializes in live experience events and has a portfolio that includes internationally recognized festivals and events across the US [2] - PRP is a sports and entertainment management company that represents global superstars and oversees brand partnerships and media strategy [2]

Group 1 - The U.S. equity markets in Q4 2025 were influenced by optimism regarding potential monetary easing and caution about economic growth and valuations [1] - The Meridian Hedged Equity Fund gained 0.08% in Q4 2025, underperforming the S&P 500 Index which returned 2.66% and the CBOE S&P 500 BuyWrite Index which returned 6.53% [1] - The firm is monitoring factors affecting market returns, including monetary policy and the sustainability of AI investments amid high valuations [1] Group 2 - MGM Resorts International is highlighted as a key contributor to the portfolio performance of the Meridian Hedged Equity Fund [2] - As of February 13, 2026, MGM Resorts International's stock closed at $34.14, with a one-month return of -2.40% and a twelve-month decline of 14.24% [2] - MGM Resorts International has a market capitalization of $9.321 billion [2] Group 3 - MGM Resorts International operates a diversified portfolio of casino resorts and has a growing digital presence through its joint venture, BetMGM [3] - The stock price of MGM increased during the quarter due to positive investor sentiment driven by record results from its Macau properties and the profitability announcement of BetMGM [3] - MGM's commitment to returning capital to shareholders is emphasized as a key reason for its inclusion in the fund [3]

Group 1 - MGM is committed to integrating "originality + innovation" into cultural tourism experiences, launching diverse artistic projects to promote the transmission of excellent traditional Chinese culture globally [1][2] - The Poly MGM Museum will introduce an immersive theme tour titled "Museum Adventure - Stories of the Tang Dynasty" starting February 28, designed to engage audiences of all ages in a cultural exploration of China's 5,000-year civilization [1][4] - The theme tour utilizes the concept of a "living museum," where professional actors guide visitors through the Tang Dynasty world, transforming artifacts into active participants in the storytelling experience [1][8] Group 2 - The "Silk Road" exhibition at the Poly MGM Museum, launched on October 1, 2025, features over 200 precious exhibits that showcase the historical treasures along the Silk Road and the exchange of Eastern and Western civilizations [2] - MGM plans to continue enhancing cultural tourism experiences through the Poly MGM Museum, collaborating with various stakeholders to establish Macau as a hub for cultural exchange, emphasizing the coexistence of diverse cultures [2]

Business Segments - The company has four reportable segments: Las Vegas Strip Resorts, Regional Operations, MGM China, and MGM Digital as of December 31, 2025[17]. - Over half of the net revenue from Las Vegas Strip Resorts typically comes from non-gaming operations, while the majority of Regional Operations' net revenue is derived from gaming operations[20]. - MGM China owns approximately 56% of MGM China, which operates MGM Macau and MGM Cotai, and is expected to drive future growth in the Asian gaming market[22]. - MGM Digital's revenue is primarily generated from online gaming products, including iGaming, digital slots, and online sports betting[24]. Strategic Initiatives - The company is focused on expanding its BetMGM North America Venture, which has launched a Single App Single Wallet feature to enhance customer retention[45]. - The company signed an agreement in September 2023 for the development of an integrated resort in Osaka, Japan, with preliminary construction expected to begin in 2024[44]. - The company is pursuing strategic growth through mergers, acquisitions, and development while maintaining a strong balance sheet and maximizing shareholder returns[39]. - The company is exploring opportunities for gaming expansion in Dubai, following the establishment of a regulatory framework for commercial gaming in the UAE[47]. - The company is committed to expanding its digital brand and has plans for gaming expansion in Dubai and an integrated resort in Japan[67]. Employee Engagement and Development - MGM Resorts has approximately 44,000 full-time and 18,000 part-time employees in the U.S. and 16,000 employees internationally as of December 31, 2025[59]. - The company has collective bargaining agreements covering approximately 37,000 U.S. employees, with some agreements set to expire in 2026[59]. - MGM Resorts has invested in a new virtual physical therapy solution to enhance employee access to qualified therapists[56]. - The company has established a Matching Gifts program in 2021 to match employee donations to their chosen charities[58]. - The company is focused on local hiring and workforce development, fulfilling local hiring commitments where applicable[53]. - MGM Resorts has partnered with the Nevada System of Higher Education to allow employees to earn a degree online free of charge for all credit hours[54]. Risk Management - The company has implemented a machine learning tool within LeoSafePlay to create risk profiles for customers at risk of developing gaming problems[52]. - The company is subject to extensive regulations and must maintain licenses and pay gaming taxes to continue operations[62]. - The company faces risks associated with leased properties, including potential lease termination and relationship issues with lessors[69]. - The concentration of major gaming resorts on the Las Vegas Strip poses operational risks[69]. - The company is susceptible to global geopolitical events affecting leisure and business travel, which could impact operations[69]. - Future construction and expansion projects are subject to significant risks that could adversely affect project timelines and costs[69]. Financial Performance - The company suspended regular dividend payments to stockholders and may not resume them in the foreseeable future[69]. - As of December 31, 2025, variable rate borrowings represented approximately 13% of total borrowings, with fixed-rate debt totaling $5.425 billion[298]. - A 1% adverse change in the exchange rate would result in a foreign currency transaction loss of $20 million as of December 31, 2025[299]. - The company has commitments to fund MGM Osaka of JPY356.9 billion (approximately $2.3 billion) as of December 31, 2025[301]. - A 10% adverse change in the exchange rate for the funding commitment would result in a $228 million increase in the funding commitment[301]. - A 10% adverse change in equity market prices would impact earnings by $35 million as of December 31, 2025[303].

Core Insights - MGM Resorts International has received 13 Five-Star awards from Forbes Travel Guide, highlighting its commitment to luxury and exceptional service in Las Vegas and Macau [1][1][1] Awards and Recognition - MGM Resorts has been awarded Five-Star designations for multiple properties, including SKYLOFTS at MGM Grand for the 17th consecutive year, ARIA Sky Suites for the 14th year, and MGM MACAU for the 11th year [1][1][1] - The Spa at ARIA has maintained its Five-Star status for the eighth consecutive year, while The Spa at Four Seasons Las Vegas has achieved this honor for the sixth consecutive year [1][1][1] - In the restaurant category, Joël Robuchon at MGM Grand has celebrated its 20th consecutive Five-Star rating, and Le Cirque at Bellagio has received the honor for the 10th consecutive year [1][1][1] Company Overview - MGM Resorts International is a global gaming and entertainment company listed on the S&P 500, featuring a portfolio of 31 hotel and gaming destinations worldwide [1][1][1] - The company operates BetMGM, a joint venture offering sports betting and online gaming in North America, and is pursuing expansion in Asia with a resort development in Japan [1][1][1] - MGM Resorts is recognized as one of FORTUNE Magazine's World's Most Admired Companies, reflecting its commitment to sustainability and community impact [1][1][1]

Core Insights - MGM Resorts International reported strong fourth-quarter 2025 results, with earnings and revenues exceeding expectations, showing year-over-year growth in both metrics [1][4]. Financial Performance - Earnings per share (EPS) for Q4 reached $1.60, significantly above the Zacks Consensus Estimate of 64 cents, marking a 150% increase from the prior year's adjusted EPS of 45 cents [4][10]. - Quarterly revenues totaled $4.61 billion, surpassing the consensus estimate of $4.44 billion by 3.6%, and reflecting a 5.9% increase year-over-year [4][10]. - Consolidated adjusted EBITDA rose 20.2% year-over-year to $635.3 million [5]. Segment Performance - MGM China was a key growth driver, with net revenues increasing 21% year-over-year to $1.2 billion, and casino revenues up 23% to $1.1 billion [6][10]. - Adjusted property EBITDAR for MGM China reached a record $332 million, up from $255 million in the prior-year quarter [7][10]. - Domestic operations on the Las Vegas Strip saw net revenues of $2.2 billion, a 3% decline year-over-year, attributed to room renovations and decreased RevPAR [8]. - Regional operations reported net revenues of $950 million, a slight increase from $932 million in the prior-year quarter, with adjusted property EBITDAR approximately $280 million [9]. Digital Operations - MGM Digital revenues increased to $188 million in Q4, up from $140 million in the prior-year quarter, with EBITDAR loss narrowing to about $7 million from $22 million [11][10]. Annual Highlights - For the full year 2025, revenues were $17.5 billion, up from $17.2 billion in 2024, and adjusted EBITDA was $2.43 billion compared to $2.41 billion in 2024 [12]. - Adjusted EPS for 2025 was $3.31, an increase from $2.59 in the previous year [12]. Balance Sheet and Share Repurchase - At the end of Q4, MGM Resorts had cash and cash equivalents of $2.1 billion, down from $2.42 billion at the end of 2024, while long-term debt decreased to $6.23 billion from $6.36 billion [13]. - The company repurchased 15 million shares in Q4 and a total of 37.5 million shares throughout 2025 [13].