Melco Resorts & Entertainment (NASDAQ:MLCO) Shares Gap Up to $6.00

Melco Resorts & Entertainment Limited (NASDAQ:MLCO) gapped up prior to trading on Tuesday . The stock had previously closed at $6.00, but opened at $6.48. Melco Resorts & Entertainment shares last traded at $6.49, with a volume of 795,307 shares changing hands.

Wall Street Analyst Weigh In

A number of brokerages have commented on MLCO. JPMorgan Chase & Co. cut Melco Resorts & Entertainment from an “overweight” rating to a “neutral” rating and reduced their price objective for the stock from $10.00 to $7.00 in a research note on Thursday, July 18th. Bank of America reduced their price target on Melco Resorts & Entertainment from $8.50 to $7.50 and set a “buy” rating on the stock in a research report on Monday, August 12th. Two research analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $9.82.

Melco Resorts & Entertainment Price Performance

The stock has a 50-day moving average price of $5.57 and a 200-day moving average price of $6.76. The firm has a market capitalization of $2.80 billion, a PE ratio of -15.67, a price-to-earnings-growth ratio of 0.91 and a beta of 1.03.

Melco Resorts & Entertainment (NASDAQ:MLCO) last posted its quarterly earnings data on Tuesday, August 13th. The company reported $0.05 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.10 by ($0.05). The business had revenue of $1.16 billion for the quarter, compared to analysts’ expectations of $1.16 billion. Melco Resorts & Entertainment had a negative return on equity of 11.59% and a negative net margin of 3.11%. Melco Resorts & Entertainment’s revenue for the quarter was up 22.3% compared to the same quarter last year. During the same quarter in the prior year, the firm earned ($0.02) earnings per share. As a group, equities research analysts predict that Melco Resorts & Entertainment Limited will post 0.2 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Melco Resorts & Entertainment

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Janney Montgomery Scott LLC acquired a new position in Melco Resorts & Entertainment during the 4th quarter valued at approximately $1,024,000. Seven Eight Capital LP acquired a new stake in Melco Resorts & Entertainment in the first quarter worth approximately $1,319,000. Goldman Sachs Group Inc. lifted its position in Melco Resorts & Entertainment by 6.8% in the fourth quarter. Goldman Sachs Group Inc. now owns 5,715,440 shares of the company’s stock worth $50,696,000 after purchasing an additional 366,031 shares during the period. NWI Management LP boosted its stake in Melco Resorts & Entertainment by 13.7% during the 1st quarter. NWI Management LP now owns 915,000 shares of the company’s stock valued at $6,597,000 after purchasing an additional 110,000 shares in the last quarter. Finally, ARGA Investment Management LP increased its position in shares of Melco Resorts & Entertainment by 6.1% during the 1st quarter. ARGA Investment Management LP now owns 29,336,228 shares of the company’s stock valued at $211,514,000 after purchasing an additional 1,695,442 shares during the period. Institutional investors own 39.62% of the company’s stock.

About Melco Resorts & Entertainment

Melco Resorts & Entertainment Limited, through its subsidiaries, develops, owns, and operates casino gaming and entertainment casino resort facilities in Asia. It owns and operates City of Dreams, an integrated casino resort that has 500 gaming tables and 800 gaming machines; approximately 1,400 hotel rooms and suites; a wet stage performance theater with approximately 2,000 seats; approximately 30 restaurants and bars, and 150 retail outlets; and recreation and leisure facilities, including health and fitness clubs, swimming pools, spa and salons, and banquet and meeting facilities.