Why MGM Resorts International (MGM) Went Up on Thursday

We recently published a list of 10 Firms Post Double-Digit Gains on Thursday. In this article, we are going to take a look at where MGM Resorts International (NYSE:MGM) stands against other firms that posted double-digit gains on Thursday.

Wall Street’s main indices finished in the green territory on Thursday, as investors cheered President Donald Trump’s reciprocal tariffs–but not right away.

The Dow Jones rose 0.77 percent, the S&P 500 increased 1.04 percent, while Nasdaq jumped 1.50 percent.

Ten companies mirrored a broader market optimism, clocking in double-digit gains. In this article, we will explore the reasons behind their impressive performance.

To come up with Thursday’s top gainers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

Aerial shot of an entertainment resort, its buildings and gaming amenities sprawling along the seafront.

MGM Resorts International (NYSE:MGM)

MGM Resorts extended its winning streak for a second day, ending Thursday’s trading up by 17.46 percent to end at $40.37 apiece.

Despite disappointing net income in the fourth quarter and full year of 2024, analysts pointed to earnings beat estimates as having fueled investor sentiment.

In a statement, MGM Resorts said net income in the fourth quarter of the year dropped by 37 percent to $237.9 million from the $379.6 million registered in the same period a year earlier, while net income for the full year declined by 18 percent to $1.06 billion from $1.3 billion in 2023.

Revenues for the quarter, however, were flat at $4.3 billion, but revenues rose by 6 percent to $17.2 billion from $16.16 billion year-on-year.

Earnings per share during the quarter stood at $0.45, beating analyst estimates of $0.34.

Overall, MGM ranks 7th on our list of firms that posted double-digit gains on Thursday. While we acknowledge the potential of MGM as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than MGM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

Disclosure: None. This article is originally published at Insider Monkey.