MGM has $5.3 billion in cash<\/a> \u2013 enough to last 18 months in a zero-revenue environment. Earlier this week, the operator reopened Bellagio, MGM Grand, and New York-New York, with Excalibur slated to join the fray next week and Aria expected to come back online in time for Fourth of July.<\/p>\n<\/div>\nHowever, the MGP investment thesis doesn’t revolve around business and leisure travel. It centers on MGM’s ability to meet lease obligations.<\/p>\n
\u201cWhat makes MGM Growth Properties safe, however, is that its payout isn\u2019t dependent on gamblers returning to Las Vegas, but rather, on MGM Resorts\u2019 ability to pay its expenses,\u201d according to <\/strong>Barron’s<\/strong>.<\/i><\/p>\nParticipating in the Rebound<\/h2>\n
Although MGP is viewed as a safer play on a recovery by the domestic gaming industry, that doesn’t mean investors are being short-changed for upside. Up nearly 22 percent over the past month, the stock is higher by 158 percent off its March lows.<\/p>\n
Another source of allure for MGP investors is that MGM has another $700 million worth of units in the property owner it can redeem. When that happens, the real estate company can retain more of its earnings and possibly increase its dividend with the added cash<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"MGM Growth Properties (NYSE:MGP), the owner of some of the most famous integrated resorts in Las Vegas, is being hailed as a defensive idea for conservative investors seeking participation in a gaming industry rebound. MGP is a gaming real estate investment trust (REIT), and with the exception of the Bellagio, the company owns all or […]<\/p>\n","protected":false},"author":46,"featured_media":137874,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[10,33810],"tags":[],"acf":[],"yoast_head":"\n
MGM Growth Properties Safe Investment for Gaming Rebound<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n