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MGM Resorts' (MGM) BetMGM Collaborates With Everi Holdings

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MGM Resorts International’s (MGM - Free Report) BetMGM recently collaborated with Everi Digital (online gaming division of Everi Holdings) and launched a custom-themed game — Borgata 777 Respin.

Everi develops entertaining game content and gaming machines, gaming systems as well as services for land-based and iGaming operators. With this collaboration, the company intends to boost its online gaming offerings through video slot enhancements and progressive jackpot contents.

Delivered through Everi's proprietary Spark Remote Game Server, the game offers a re-spin bonus that triggers randomly on any winning spin and each re-spin awards prizes equal to or more valuable than the previous re-spin. Also, it offers players with 10x, 5x and 3x multipliers to gain chances for wins through wild Borgata symbols. The company stated that the game will be available through BetMGM Casino, Borgata Casino and Party Casino in New Jersey as well as BetMGM Casino and Borgata Casino in Pennsylvania.

With respect to the launch, Oliver Bartlett, BetMGM's director of Online Gaming, stated "BetMGM continues to leverage its strong themes and iconic brands to build the most robust online gaming portfolio and we're thrilled to provide players with another exciting gaming option."

More Focus on BetMGM

BetMGM is a market leading sports betting and gaming entertainment company, pioneering the online gaming industry. Based on a partnership between MGM Resorts and Entain Plc, BetMGM has exclusive access to all of MGM's U.S. land-based and online sports betting, major tournament poker as well as the online gaming businesses.

During second-quarter 2021, BetMGM operations contributed $194 million to net revenues in the second quarter, up 19% sequentially. Markedly, the operation results are encouraging compared with the total net revenues of $178 million in 2020. Given the positive momentum in markets coupled with its unique and unparalleled online and off-line offerings, the company remains optimistic about its long-term growth with revenue expectations of more than $1 billion in 2022. Over the long term, BetMGM’s EBITDA margins are projected in the range of 30-35%.

Price Performance

Zacks Investment Research
Image Source: Zacks Investment Research

Coming to the price performance, shares of MGM Resorts have appreciated 36.8% so far this year compared with the industry’s 4.1% growth. The company has been benefiting from sports betting expansion, asset light strategy, non-gaming activities and digital initiatives. The company is confident regarding prospects in Macau and continues to invest in the same. Earnings estimates for 2021 have moved up in the past 60 days, depicting analysts’ optimism regarding the stock’s growth potential.

Zacks Rank & Key Picks

MGM Resorts currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Some better-ranked stocks in the same space include Boyd Gaming Corporation (BYD - Free Report) , Golden Entertainment, Inc. (GDEN - Free Report) and Monarch Casino & Resort, Inc. (MCRI - Free Report) , each sporting a Zacks Rank #1.

Boyd Gaming has a three-five year earnings per share growth rate of 40.8%.

Golden Entertainment’s 2021 earnings are expected to surge 226.4%.

Monarch Casino has a trailing four-quarter earnings surprise of 53.3%, on average.

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