Melco Resorts & Entertainment (NASDAQ: MLCO) Shares Down 4.9% - Is it Time to Sell?

Melco Resorts & Entertainment Limited (NASDAQ: MLCO) experienced a notable decline in its stock price, trading down by 4.9% on Monday. The shares reached a low of $5.24 and concluded the trading session at $5.25. Approximately 1,859,895 shares were exchanged during the session, which is a significant drop of 53% compared to the average volume of 3,956,198 shares. The previous closing price stood at $5.52.

Recent Analyst Ratings

Analysts have recently reassessed Melco Resorts & Entertainment, resulting in several changes in ratings. Citigroup, for example, lowered its rating from "buy" to "neutral" and adjusted the target price from $10.00 to $6.00 in a recent report. Similarly, Susquehanna revised its target price for the company from $10.00 to $9.00 while maintaining a "positive" rating. Meanwhile, Morgan Stanley reaffirmed its "equal weight" rating with a target price adjustment from $9.60 to $7.50. Currently, four analysts have assigned a "hold" rating to the stock, and two analysts rate it as a "buy." MarketBeat data reflects an average rating of "Hold" with a consensus price target of $7.40.

Stock Performance Insights

The stock has a 50-day moving average of $5.94 and a 200-day moving average of $6.14. Melco Resorts has a market capitalization of $2.23 billion, a P/E ratio of -24.14, a price-to-earnings-growth ratio of 0.55, and a beta value of 1.04, indicating a level of volatility in relation to the market.

Institutional Ownership Trends

Changes in institutional investments have been observed, with several hedge funds adjusting their positions in Melco Resorts & Entertainment. For instance, Cetera Investment Advisers increased its holdings by 5.3% during the second quarter, now owning 169,277 shares worth approximately $1.26 million after acquiring an additional 8,507 shares. Creative Planning expanded its stake by 35.9% in the third quarter, totaling 15,962 shares valued at $124,000 after procuring an additional 4,220 shares. Signaturefd LLC increased its holdings by 16.6% during the same third quarter period. Overall, around 39.62% of Melco Resorts & Entertainment stock is owned by hedge funds and institutional investors.

About Melco Resorts & Entertainment

Melco Resorts & Entertainment Limited operates various casino and entertainment establishments in Asia. The company is known for its flagship property, City of Dreams, which features extensive gaming facilities, luxury accommodations, fine dining options, and numerous recreational and leisure amenities.

Considerations for Investors

Before making any investment decisions, it is essential to consider various factors. As of now, Melco Resorts & Entertainment holds a "Hold" rating among analysts, suggesting caution for potential investors. Investors are encouraged to monitor the stock's performance closely and consider the insights and recommendations of top analysts before proceeding.

Melco, Shares, Trading