Why MGM Resorts International Stock Fell 5% at the Open Today
Shares of casino operator MGM Resorts International (NYSE: MGM) fell 5% at the open of trading on Dec. 21. That said, the stock has been on something of a run since falling more than 75% in the early 2020 bear market. At this point the stock is down just about 10% or so for the year. That's the setup for what seems to be spooking investors today.
MGM is hardly alone in its price dip today, with other entertainment, vacation, and service related stocks also falling, including casino stock peers, cruise lines, and movie theater chains. That said, for many of these companies, investor sentiment has improved materially since the depths of the coronavirus-led bear market early in the year. The price move of MGM's own stock is clear evidence of that. Positive vaccine developments, including the approval and initial distribution efforts of multiple candidates, have helped back the thesis that "this too shall pass." Of course that would be very good for companies like MGM that rely on bringing people together in group settings.
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Source Fool.com
