Is the business good?
How good a business is MGM?
MGM Resorts earns 13% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
13%
Return on invested capital · cost of capital 9.0% · 4.3 points above what the capital costs: growth creates value
- Operating margin
- 5.7%
Operating margin · Resorts & Casinos median 15% · 12 months to Q2 2026
- Cash conversion
- 3.51×
Cash conversion · 2.40× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −6.5%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | −12% |
| FY2021 | 24% |
| FY2022 | 11% |
| FY2023 | 12% |
| FY2024 | 8.6% |
| FY2025 | 5.7% |
Details›
- Operating margin12 months to Q2 2026
- 5.7%
- Net margin12 months to Q2 2026
- 2.4%
- Free cash flow margin
- 8.4%
- Revenue, trailing twelve months
- $17.8B
- Free cash flow, trailing twelve months
- $1.49B
- Net income, trailing twelve months
- $426M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 13%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Resorts & Casinos
Ranks #11 of 12 by Smart Score