Skip to content

MGM RESORTS INTERNATIONAL (MGM) — WACC Analysis

WACC Breakdown

MGM RESORTS INTERNATIONAL (MGM) has a weighted average cost of capital (WACC) of 8.1%. The cost of equity is 10.4%, derived from a beta of 1.36 and a risk-free rate of 5.2%. The after-tax cost of debt is 5.3%. The capital structure is 55.0% equity and 45.0% debt.

Interpretation

A WACC of 8.1% is moderate, reflecting the market's balanced risk assessment of MGM RESORTS INTERNATIONAL.

Investors can compare MGM's WACC of 8.1% against industry peers to gauge its relative financing costs. A beta of 1.36 reflects the stock's volatility relative to the broader market.

DeepViews
VALUATION

MGM WACC: 8.14% for MGM RESORTS INTERNATIONAL

Current inputs imply a 10.44% cost of equity and a 6.74% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
Loading market data...
[02]
WACC Calculation Process
1
Market Data Loaded
2
Company Data Fetched
3
Beta Calculated (5Y)
4
Inputs Auto-Populated
5
WACC Calculated
[03]
Step 2: Enter Ticker Symbol
Quick search:
Step 4: Review Auto-Populated WACC Inputs

Values are automatically populated from real data. You can adjust them manually if needed.

4.30%
1.000
4.23%
5.00%
21.00%
70.00%
Debt: 30.00%Equity: 70.00%

Please enter a valid company ticker to calculate WACC

MGM RESORTS INTERNATIONAL Common Stock (MGM) WACC Results
Weighted Average Cost of Capital
8.14%
Cost of Equity
10.44%
Risk-Free Rate5.19%
Beta1.36
Market Risk Premium4.23%
Cost of Debt
5.32%
Pre-Tax Cost of Debt6.74%
Tax Rate21.00%
Tax Shield1.42%
Capital Structure
Equity: 55.00%($7416.95M)
Debt: 45.00%($6068.44M)
Equity Component
5.74%
55.00% × 10.44%
Debt Component
2.40%
45.00% × 5.32%

MGM RESORTS INTERNATIONAL (MGM) WACC in context

MGM RESORTS INTERNATIONAL (MGM) currently screens with an estimated WACC of 8.14%. That blends a 10.44% cost of equity, a 6.74% pre-tax cost of debt, and a 55.00% equity weight into the discount rate you would typically use in a DCF model.

falls into a common range for established public companies and is a practical DCF starting point.

What MGM WACC implies

A 8.14% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates MGM

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 1.36 and equity accounts for 55.00% of capital.

What to do next

Validate business quality on the company page, then carry the same discount-rate assumptions into the DCF page to test fair value sensitivity.

Disclaimer: This is not financial advice. Data sourced from SEC EDGAR and Polygon.io. Past performance does not guarantee future results. Always conduct your own research before making investment decisions.

MGM WACC: 8.14% — MGM RESORTS INTERNATIONAL Cost of Capital (October 2026) | DeepViews