The stock of Melco Resorts & Entertainment Ltd ADR (NASDAQ: MLCO) has decreased by -3.54 when compared to last closing price of 4.80. Despite this, the company has experienced a -12.14% fall in its stock price over the last five trading sessions. seekingalpha.com reported 2025-04-04 that Melco Resorts & Entertainment aims to sell City of Dreams Manila to fund a new casino in Thailand, an emerging gambling market. Despite high debt and suspended dividends, MLCO’s share buybacks and positive post-COVID recovery enhance shareholder value. Thailand’s potential legalization of gambling offers significant growth, making it a strategic move and creating positive motivation to sell Manila.
Is It Worth Investing in Melco Resorts & Entertainment Ltd ADR (NASDAQ: MLCO) Right Now?
Melco Resorts & Entertainment Ltd ADR (NASDAQ: MLCO) has a higher price-to-earnings ratio of 47.29x compared to its average ratio, The 36-month beta value for MLCO is at 0.72. Analysts have varying views on the stock, with 7 analysts rating it as a “buy,” 3 rating it as “overweight,” 4 as “hold,” and 0 as “sell.”
The public float for MLCO is 419.45M, and currently, shorts hold a 2.45% of that float. The average trading volume for MLCO on April 08, 2025 was 4.14M shares.
MLCO’s Market Performance
MLCO’s stock has seen a -12.14% decrease for the week, with a -17.91% drop in the past month and a -17.32% fall in the past quarter. The volatility ratio for the week is 6.31%, and the volatility levels for the past 30 days are at 4.23% for Melco Resorts & Entertainment Ltd ADR The simple moving average for the last 20 days is -14.35% for MLCO stock, with a simple moving average of -24.55% for the last 200 days.
Analysts’ Opinion of MLCO
Many brokerage firms have already submitted their reports for MLCO stocks, with Morgan Stanley repeating the rating for MLCO by listing it as a “Overweight.” The predicted price for MLCO in the upcoming period, according to Morgan Stanley is $6.70 based on the research report published on March 03, 2025 of the current year 2025.
Citigroup, on the other hand, stated in their research note that they expect to see MLCO reach a price target of $6, previously predicting the price at $10. The rating they have provided for MLCO stocks is “Neutral” according to the report published on February 10th, 2025.
Morgan Stanley gave a rating of “Equal-Weight” to MLCO, setting the target price at $7.50 in the report published on December 17th of the previous year.
MLCO Trading at -17.29% from the 50-Day Moving Average
After a stumble in the market that brought MLCO to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -47.98% of loss for the given period.
Volatility was left at 4.23%, however, over the last 30 days, the volatility rate increased by 6.31%, as shares sank -14.58% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -17.32% lower at present.
During the last 5 trading sessions, MLCO fell by -12.14%, which changed the moving average for the period of 200-days by -39.95% in comparison to the 20-day moving average, which settled at $5.41. In addition, Melco Resorts & Entertainment Ltd ADR saw -20.03% in overturn over a single year, with a tendency to cut further losses.
Stock Fundamentals for MLCO
Current profitability levels for the company are sitting at:
- 0.11 for the present operating margin
- 0.3 for the gross margin
The net margin for Melco Resorts & Entertainment Ltd ADR stands at 0.01. The total capital return value is set at 0.07.
The debt to equity ratio resting at -5.62. The interest coverage ratio of the stock is 1.0.
Currently, EBITDA for the company is 1.03 billion with net debt to EBITDA at 6.17. When we switch over and look at the enterprise to sales, we see a ratio of 1.5. The receivables turnover for the company is 32.16for trailing twelve months and the total asset turnover is 0.58. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.20.
Conclusion
In conclusion, Melco Resorts & Entertainment Ltd ADR (MLCO) has had a bad performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
