WallStSmart

MGM Resorts International (MGM)vsPenn National Gaming Inc (PENN)

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Smart Verdict

WallStSmart Research — data-driven comparison

MGM Resorts International generates 148% more annual revenue ($17.76B vs $7.16B). MGM leads profitability with a 2.4% profit margin vs -12.7%. MGM appears more attractively valued with a PEG of 0.47. MGM earns a higher WallStSmart Score of 62/100 (C+).

MGM

Buy

62

out of 100

Grade: C+

Growth: 7.3Profit: 5.5Value: 7.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.63

PENN

Buy

59

out of 100

Grade: C

Growth: 6.7Profit: 3.5Value: 7.0Quality: 2.5
Piotroski: 3/9Altman Z: 0.31
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for MGM.

PENNUndervalued (+79.2%)

Margin of Safety

+79.2%

Fair Value

$64.29

Current Price

$15.65

$48.64 discount

UndervaluedFair: $64.29Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MGM2 strengths · Avg: 10.0/10
PEG RatioValuation
0.4710/10

Growing faster than its price suggests

EPS GrowthGrowth
519.0%10/10

Earnings expanding 519.0% YoY

PENN2 strengths · Avg: 10.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

EPS GrowthGrowth
208.9%10/10

Earnings expanding 208.9% YoY

Areas to Watch

MGM4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
1.0%4/10

1.0% revenue growth

Profit MarginProfitability
2.4%3/10

2.4% margin — thin

Altman Z-ScoreHealth
0.632/10

Distress zone — elevated risk

Debt/EquityHealth
11.871/10

Elevated debt levels

PENN4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-40.1%2/10

ROE of -40.1% — below average capital efficiency

Altman Z-ScoreHealth
0.312/10

Distress zone — elevated risk

Profit MarginProfitability
-12.7%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : MGM

The strongest argument for MGM centers on PEG Ratio, EPS Growth. PEG of 0.47 suggests the stock is reasonably priced for its growth.

Bull Case : PENN

The strongest argument for PENN centers on Price/Book, EPS Growth. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bear Case : MGM

The primary concerns for MGM are Revenue Growth, Profit Margin, Altman Z-Score. Debt-to-equity of 11.87 is elevated, increasing financial risk. Thin 2.4% margins leave little buffer for downturns.

Bear Case : PENN

The primary concerns for PENN are Piotroski F-Score, Return on Equity, Altman Z-Score. Debt-to-equity of 3.66 is elevated, increasing financial risk.

Key Dynamics to Monitor

MGM profiles as a value stock while PENN is a turnaround play — different risk/reward profiles.

PENN carries more volatility with a beta of 1.38 — expect wider price swings.

PENN is growing revenue faster at 5.2% — sustainability is the question.

MGM generates stronger free cash flow (317M), providing more financial flexibility.

Bottom Line

MGM scores higher overall (62/100 vs 59/100). PENN offers better value entry with a 79.2% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

MGM Resorts International

CONSUMER CYCLICAL · RESORTS & CASINOS · USA

MGM Resorts International is an American global hospitality and entertainment company operating destination resorts globally.

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Penn National Gaming Inc

CONSUMER CYCLICAL · RESORTS & CASINOS · USA

Penn National Gaming, Inc. is an American operator of casinos and racetracks, based in Wyomissing, Pennsylvania.

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