Truist Downgrades MGM Resorts Rating Amid Las Vegas Market Concerns
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 20 Jan 26
MGM Resorts International shares fell by 3.54% as the stock hit a 20-day low, reflecting investor concerns about the company's outlook.
Truist Securities has downgraded MGM Resorts' rating from Buy to Hold, lowering its price target from $45 to $38 due to worries about trends in the Las Vegas market. Analysts predict a 1% contraction in Las Vegas Strip EBITDA for 2026, indicating ongoing weakness in leisure consumer spending, which could pressure MGM's performance in the near term.
This downgrade highlights the challenges MGM faces in a competitive market, particularly as consumer sentiment remains weak. Investors will need to monitor how these trends evolve and their potential impact on MGM's financial health.
Analyst Views on MGM
Wall Street analysts forecast MGM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MGM is 40.31 USD with a low forecast of 29.00 USD and a high forecast of 56.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
5 Buy
7 Hold
2 Sell
Hold
Current: 32.750
Low
29.00
Averages
40.31
High
56.00
Current: 32.750
Low
29.00
Averages
40.31
High
56.00
About MGM
MGM Resorts International is a global gaming and entertainment company with national and international locations featuring hotels and casinos, meetings and conference spaces, live and theatrical entertainment experiences, and a range of restaurant, nightlife and retail offerings. The Company’s segments include Las Vegas Strip Resorts, Regional Operations, MGM China, and MGM Digital. The Las Vegas Strip Resorts segment consists of Aria, Bellagio, The Cosmopolitan of Las Vegas, MGM Grand Las Vegas, Mandalay Bay, Luxor, New York-New York, Excalibur, and Park MGM. The Regional Operations segment consists of MGM Grand Detroit in Detroit, Michigan; Beau Rivage in Biloxi, Mississippi; Gold Strike Tunica in Tunica; Borgata in Atlantic City, New Jersey; MGM National Harbor in Prince George’s County, Maryland; MGM Springfield in Springfield, Massachusetts; Empire City in Yonkers, New York, and others. MGM Digital is its online gaming portfolio which is primarily comprised of LeoVegas.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
