WallStSmart

MGM Resorts International (MGM)vsRed Rock Resorts Inc (RRR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MGM Resorts International generates 777% more annual revenue ($17.72B vs $2.02B). RRR leads profitability with a 9.2% profit margin vs 1.0%. MGM appears more attractively valued with a PEG of 1.14. RRR earns a higher WallStSmart Score of 53/100 (C-).

MGM

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 5.0Value: 6.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.63

RRR

Buy

53

out of 100

Grade: C-

Growth: 4.0Profit: 8.5Value: 4.7Quality: 4.3
Piotroski: 4/9Altman Z: 1.10
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MGMUndervalued (+62.0%)

Margin of Safety

+62.0%

Fair Value

$95.55

Current Price

$38.79

$56.76 discount

UndervaluedFair: $95.55Overvalued
RRRSignificantly Overvalued (-36.0%)

Margin of Safety

-36.0%

Fair Value

$47.70

Current Price

$54.48

$6.78 premium

UndervaluedFair: $47.70Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MGM0 strengths · Avg: 0/10

No standout strengths identified

RRR3 strengths · Avg: 8.7/10
Return on EquityProfitability
111.3%10/10

Every $100 of equity generates 111 in profit

P/E RatioValuation
17.3x8/10

Attractively priced relative to earnings

Operating MarginProfitability
28.3%8/10

Strong operational efficiency at 28.3%

Areas to Watch

MGM4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.2%4/10

4.2% revenue growth

Profit MarginProfitability
1.0%3/10

1.0% margin — thin

P/E RatioValuation
52.2x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-5.9%2/10

Earnings declined 5.9%

RRR4 concerns · Avg: 3.5/10
PEG RatioValuation
1.694/10

Expensive relative to growth rate

Price/BookValuation
15.3x4/10

Trading at 15.3x book value

Revenue GrowthGrowth
1.9%4/10

1.9% revenue growth

EPS GrowthGrowth
-2.4%2/10

Earnings declined 2.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : MGM

PEG of 1.14 suggests the stock is reasonably priced for its growth.

Bull Case : RRR

The strongest argument for RRR centers on Return on Equity, P/E Ratio, Operating Margin.

Bear Case : MGM

The primary concerns for MGM are Revenue Growth, Profit Margin, P/E Ratio. A P/E of 52.2x leaves little room for execution misses. Debt-to-equity of 23.11 is elevated, increasing financial risk.

Bear Case : RRR

The primary concerns for RRR are PEG Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

RRR carries more volatility with a beta of 1.35 — expect wider price swings.

MGM is growing revenue faster at 4.2% — sustainability is the question.

MGM generates stronger free cash flow (413M), providing more financial flexibility.

Monitor RESORTS & CASINOS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

RRR scores higher overall (53/100 vs 49/100). MGM offers better value entry with a 62.0% margin of safety. Both earn "Buy" and "Hold" 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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Red Rock Resorts Inc

CONSUMER CYCLICAL · RESORTS & CASINOS · USA

Red Rock Resorts, Inc., through its interest in Station Holdco and Station LLC, is involved in the casino, gaming and entertainment businesses in the United States. The company is headquartered in Las Vegas, Nevada.

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