MGM Resorts Price To Sales vs. Gross Profit
| MGG Stock | EUR 32.17 0.31 0.95% |
For MGM Resorts profitability analysis, we use financial ratios and fundamental drivers that measure the ability of MGM Resorts to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well MGM Resorts International utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between MGM Resorts's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of MGM Resorts International over time as well as its relative position and ranking within its peers.
MGM |
MGM Resorts International Gross Profit vs. Price To Sales Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining MGM Resorts's current stock value. Our valuation model uses many indicators to compare MGM Resorts value to that of its competitors to determine the firm's financial worth. MGM Resorts International is regarded second in price to sales category among its peers. It is considered to be number one stock in gross profit category among its peers fabricating about 6,284,093,953 of Gross Profit per Price To Sales. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the MGM Resorts' earnings, one of the primary drivers of an investment's value.MGM Gross Profit vs. Price To Sales
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
MGM Resorts |
| = | 1.03 X |
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
MGM Resorts |
| = | 6.47 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
MGM Gross Profit Comparison
MGM Resorts is currently under evaluation in gross profit category among its peers.
MGM Resorts Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in MGM Resorts, profitability is also one of the essential criteria for including it into their portfolios because, without profit, MGM Resorts will eventually generate negative long term returns. The profitability progress is the general direction of MGM Resorts' change in net profit over the period of time. It can combine multiple indicators of MGM Resorts, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
MGM Resorts International, through its subsidiaries, owns and operates integrated casino, hotel, and entertainment resorts in the United States and Macau. MGM Resorts International was founded in 1986 and is based in Las Vegas, Nevada. MGM RESORTS operates under Resorts Casinos classification in Germany and is traded on Frankfurt Stock Exchange. It employs 82000 people.
MGM Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on MGM Resorts. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of MGM Resorts position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the MGM Resorts' important profitability drivers and their relationship over time.
Use MGM Resorts in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if MGM Resorts position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in MGM Resorts will appreciate offsetting losses from the drop in the long position's value.MGM Resorts Pair Trading
MGM Resorts International Pair Trading Analysis
The ability to find closely correlated positions to MGM Resorts could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace MGM Resorts when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back MGM Resorts - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling MGM Resorts International to buy it.
The correlation of MGM Resorts is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as MGM Resorts moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if MGM Resorts International moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for MGM Resorts can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your MGM Resorts position
In addition to having MGM Resorts in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Additional Information and Resources on Investing in MGM Stock
When determining whether MGM Resorts International is a strong investment it is important to analyze MGM Resorts' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact MGM Resorts' future performance. For an informed investment choice regarding MGM Stock, refer to the following important reports:Check out Correlation Analysis. You can also try the Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
To fully project MGM Resorts' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of MGM Resorts International at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include MGM Resorts' income statement, its balance sheet, and the statement of cash flows.