MGM Resorts International (MGM)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 746,558 | 1,142,180 | 206,731 | 1,254,370 | -1,319,910 |
| Total stockholders’ equity | US$ in thousands | 3,023,480 | 3,811,170 | 4,831,530 | 6,070,640 | 6,504,730 |
| ROE | 24.69% | 29.97% | 4.28% | 20.66% | -20.29% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $746,558K ÷ $3,023,480K
= 24.69%
The return on equity (ROE) of MGM Resorts International has shown significant fluctuations over the past few years. In December 2020, the ROE was negative at -20.29%, indicating that the company's net income was insufficient to generate a positive return for shareholders. However, by December 2021, the ROE improved to 20.66%, reflecting a turnaround in the company's profitability and efficiency in utilizing shareholders' equity.
In December 2022, the ROE decreased to 4.28%, suggesting a decline in profitability or a lower level of efficiency in utilizing equity compared to the previous year. The following year, in December 2023, there was a notable increase in ROE to 29.97%, indicating a substantial growth in profitability and efficiency in generating returns for shareholders.
By December 2024, the ROE stood at 24.69%, maintaining a relatively high level compared to previous years. Overall, the fluctuations in ROE for MGM Resorts International demonstrate varying levels of profitability and efficiency in utilizing equity over the analyzed period, with notable improvements in some years and fluctuations in others.
Peer comparison
Dec 31, 2024