5 Best Gambling Stocks To Buy Now

2. MGM Resorts International (NYSE:MGM)

Number of Hedge Fund Holders: 53

MGM Resorts International (NYSE:MGM) is a holding company that engages in the ownership and operations of casino resorts. Its casino resorts offer gaming, hotel, convention, dining, entertainment, retail, and other resort amenities. The company provides online sports betting services to its customers through BetMGM.

On September 26, 2022, George Choi, an analyst at Citi, increased his target price on MGM Resorts International (NYSE:MGM) stock to $58.50. The analyst currently has a Buy rating on the company’s stock. The earlier-than-expected easing of Covid-related restrictions in Macau is a positive surprise, and the analyst now expects the stock to be re-rated by the market.

According to Insider’s Monkey database, 53 hedge funds held shares of the company at the end of the third quarter 2022.

In its Q2 2022 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and MGM Resorts International (NYSE:MGM) was one of them. Here is what the fund said:

MGM Resorts International (NYSE:MGM) is a leading global casino and entertainment company. At its recent price of only $30 per share, we believe MGM is valued at a significant discount to our reasonable $50 per share estimate of the sum-of-the-parts value of its business. Further, the company’s domestic operations are valued at a 18% free-cash-flow yield. Paul Salem, Chairman of the Board, recently acquired shares.