Bankur.com - Personal Finance and Investing Advice » Investing Journal http://bankur.com Educating the Masses on Personal Investments Sun, 14 Nov 2010 05:57:15 +0000 en hourly 1 http://wordpress.org/?v=3.2.1 MGM Stocks Shares Take a Beating http://bankur.com/mgm-stocks-shares-take-a-beating/ http://bankur.com/mgm-stocks-shares-take-a-beating/#comments Thu, 01 Oct 2009 20:09:23 +0000 Banker http://bankur.com/?p=252 Today after recent news that the MGM company would not be able to fulfill their plan of a debt swap offer. This news drove MGM shares down several percent throughout the day, with a total loss of more than 10% on the share value and cost.

10.71 -1.33? (-11.05%?) Oct 1 4:01pm ET
10.70? -0.01? (-0.09%?) After Hours
Open: 11.74
High: 11.74
Low: 10.64
Volume: 46,424,331
Avg Vol: 36,979,000
Mkt Cap: 4.72B
Disclaimer

The debt swap offer was called off due to the required minimum amount of notes not being tendered by holders, the debt exchange would have allowed current holders to exchange a portion of an existing $782 million in 8 .5% notes due in 2010, for the company’s 10 percent notes due in 2016.

(from StreetInsider MGM MIRAGE) – Hold rated, $13 price target. Soleil notes that MGM has dodged liquidity issues, but also points out that the casino operator “still faces debt maturities, Vegas capacity growth and a full valuation.” According to the firm, MGM trades inline with Las Vegas Sands and at a discount to Wynn on an earnings basis, but based on EBITDA multiple-to-growth, it trades at sharp premiums to the other two top names. MGM shares have tumbled nearly 9% today, most recently trading at $11.

Many experts are calling for a hold on the MGM shares with an expected value of only $13, personally it is believed to rise much higher, with the economic status of Las Vegas expected to rise in the tourist travel and the soon to be opened CityCenter.

Started daily holdings with 63 shares of MGM, dropped to the value of 10.76

Purchase another 55 shares of MGM.

Positions (My Investments)
Symbol Qty Price Mkt Value
MGM 118 10.86 1,281.48

Total Market Value: $1,281.48

Total Invested  – $1390.02

Ending Total Portfolio Value – $1281.48

Many experts agree that Las Vegas is set to begin a better local economic climate, and are approaching the Las Vegas stocks accordinly. Las Vegas sands is a strong buy recomendation from many analyst right now, and because of that it is begining to become over valued. The smart money is believe by us to be with MGM.

]]> http://bankur.com/mgm-stocks-shares-take-a-beating/feed/ 0 Betting on Vegas – MGM Stocks http://bankur.com/betting-on-vegas-mgm-stocks/ http://bankur.com/betting-on-vegas-mgm-stocks/#comments Tue, 29 Sep 2009 04:47:53 +0000 Banker http://bankur.com/?p=250 MGM Stocks, are believed to be a safe bet.

Ok, after several days of lower then expected performance, many times losing a few dollars a day I have moved to what I believe to be a much safer round of holdings. With the economy turning around, I believe (and many agree) one of the first sub economy to improve is likely to be that of Las Vegas. Having been to Las Vegas, I personally know of the high quality and standard that the MGM casino and hotels abide by, so the company was a logical choice… Not to mention the soon to open CityCenter, which will open in stages and has been some what scaled back (from some reports), will be a huge success for MGM.

Today’s MGM Quote

12.70 +0.04? (0.32%?) Sep 28 4:01pm ET
12.73? +0.03? (0.24%?) After Hours
Open: 12.83
High: 12.99
Low: 12.21
Volume: 27,722,240
Avg Vol: 35,978,000
Mkt Cap: 5.60B

Expected Hold Time – 9 months minimum

Total Invested  – $790.02

Ending Total Portfolio Value – $810.07

There is not a great amount of action and change on a day to day basis, but with a new multiple tower resort and casino opening up on the Las Vegas strip, and the general increase in traffic that Las Vegas will encounter as the economy continues to improve… all of this means stability and growth. MGM is facing some serious debts, and thats what makes the stock so undervalued on the market today, but MGM is posed for serious growth over the next several months to a 1 year.

]]> http://bankur.com/betting-on-vegas-mgm-stocks/feed/ 0 Fannie Mae Stock Rises http://bankur.com/will-fannie-mae-stock-rise/ http://bankur.com/will-fannie-mae-stock-rise/#comments Thu, 03 Sep 2009 21:19:54 +0000 Banker http://bankur.com/?p=247 After some early losses in the month, Fannie Mae is back on tons of day trader favorite lists, and it is showing. The volume of the stocks being traded has been increasing and the price per share is doing the same. Fannie Mae ended yesterday at $1.37 per share and ended today at $1.64 a share… A real nice increase!

Total Invested  – $1000.00

Ending Total Portfolio Value – $943.00

Fannie Mae has almost gotten all of its invested value back and looks like it will continue its rise. A great day in the market over all with an increase of $155.25 for today.

( After Hours: 1.71 +0.07 (4.27%) Sep 3, 5:04PM EDT ) The after hours market seems to be just as kind to Fannie Mae and the investors holding, overall looks like a good day.

With the week coming to an end soon its about time to start looking for where to put next weeks investment, and have been looking into diversifying over the past couple of days. The financial markets have been some of the most volatile and are likely to experience some of the greatest gains as the economy takes a turn for the better, they are also some of the most risky.

FNM $1.64 0.27
FRE $1.87 0.23

A couple of stocks that I have been considering are Las Vegas favorites. With the recession in place, Las Vegas has taken some of the heavier losses, and are also likely to take some real heavy gains once the economy begins to turn around. The big guys in Las Vegas are not going anywhere, no matter how tight the economy becomes, and Las Vegas will also be a big tourist hot spot… As our dollar lowers, more and more international tourism will increase and bring more into our nations big tourist hot spots, as our dollar increases and our economy becomes more stable Las Vegas will surely return to the profit margins they were experiencing just a couple of years ago.

The two Las Vegas companies that have recently peeked my interest are LVS and MGM

mgm $8.30 0.48
lvs $14.33 0.40

These are a couple of the top ones on my watch list, that I expect to do very well, but not yet certain on what will be next weeks pick.

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