Comparing Melco Resorts & Entertainment (MLCO) & Its Peers

Melco Resorts & Entertainment (NASDAQ:MLCO) is one of 382 publicly-traded companies in the “Hotels, Restaurants & Leisure” industry, but how does it compare to its rivals? We will compare Melco Resorts & Entertainment to similar businesses based on the strength of its risk, valuation, institutional ownership, earnings, profitability, dividends and analyst recommendations.

Earnings and Valuation

This table compares Melco Resorts & Entertainment and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Melco Resorts & Entertainment	$5.16 billion	$185.04 million	10.96
Melco Resorts & Entertainment Competitors	$3.42 billion	$250.20 million	-160.29

Melco Resorts & Entertainment has higher revenue, but lower earnings than its rivals. Melco Resorts & Entertainment is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

39.6% of Melco Resorts & Entertainment shares are owned by institutional investors. Comparatively, 48.7% of shares of all “Hotels, Restaurants & Leisure” companies are owned by institutional investors. 57.1% of Melco Resorts & Entertainment shares are owned by insiders. Comparatively, 22.1% of shares of all “Hotels, Restaurants & Leisure” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

Melco Resorts & Entertainment has a beta of 0.49, suggesting that its share price is 51% less volatile than the S&P 500. Comparatively, Melco Resorts & Entertainment’s rivals have a beta of 1.44, suggesting that their average share price is 44% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Melco Resorts & Entertainment and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Melco Resorts & Entertainment	2	4	3	0	2.11
Melco Resorts & Entertainment Competitors	3812	17305	25623	907	2.50

Melco Resorts & Entertainment presently has a consensus target price of $6.45, indicating a potential upside of 43.49%. As a group, “Hotels, Restaurants & Leisure” companies have a potential upside of 58.44%. Given Melco Resorts & Entertainment’s rivals stronger consensus rating and higher probable upside, analysts clearly believe Melco Resorts & Entertainment has less favorable growth aspects than its rivals.

Profitability

This table compares Melco Resorts & Entertainment and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Melco Resorts & Entertainment	3.15%	-15.89%	2.22%
Melco Resorts & Entertainment Competitors	2.45%	-40.43%	2.13%

Summary

Melco Resorts & Entertainment rivals beat Melco Resorts & Entertainment on 7 of the 13 factors compared.

Melco Resorts & Entertainment Company Profile

Melco Resorts & Entertainment develops, owns and operates integrated resorts that combine casino gaming with hotels, dining, retail, entertainment and convention facilities. Its properties include City of Dreams, Studio City and Altira Macau, as well as City of Dreams Manila in the Philippines. The company has also developed and operated resort and casino facilities in Cyprus, extending its business beyond its core Macau and Philippine markets. Its offerings are designed to serve both gaming customers and visitors seeking hospitality and entertainment experiences.