Why MGM Resorts Stock Soared 42.6% in April
Shares of MGM Resorts (NYSE: MGM) jumped 42.6% in April, according to data provided by S&P Global Market Intelligence, after investors became a bit more bullish on the casino industry's recovery. However, the stock has fallen 15.2% in the first three trading days of May following news out of Macao that has been even worse than expected.
In March, the market's recovery and investors' more optimistic view of the effects of COVID-19 on the economy pushed stocks higher overall. Additionally, investors were pleased with the ability of companies to raise money to survive. MGM Resorts announced the offering of $750 million of senior notes, which it has now closed, to shore up the balance sheet. Others in the industry made similar moves. But last month's jump in the stock price happened without a lot of news-driven substance or financial results.
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Source Fool.com