MGM Resorts remains a Buy with strong growth from China and digital despite short-term challenges in Vegas.

MGM Resorts International is rated as a Buy due to its attractive valuation and strong balance sheet, despite recent underperformance compared to the S&P 500. Growth is primarily driven by MGM China and MGM Digital, while Las Vegas and regional operations face short-term challenges from weak visitation and consumer sentiment. Management is focusing on long-term growth through investments like the MGM Osaka resort in Japan and expanding digital and sports-betting platforms. The stock trades at low cash flow and EV/EBITDA multiples relative to peers, with a manageable net leverage ratio of 1.57, supporting its investment appeal.