$MGM surges 8.08% to $36.93 short squeeze ignites eyes on $41
$MGM Resorts International(MGM)$
MGM Surged +8.08%: Short Squeeze Ignites, Eyes on $41 Breakout
Latest Close Data
Closed at $36.93 (ET 2026-02-04), surging +8.08% on the day. The price is now just 10.6% below its 52-week high of $41.32.
Core Market Drivers
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Strong buying momentum likely fueled by a potential short squeeze, with recent short volume ratios exceeding 30%.
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Positive sentiment may also be linked to robust consumer spending trends in the travel and entertainment sectors.
Technical Analysis
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Volume was significantly elevated at 13.04M shares (Volume Ratio: 2.81), confirming strong institutional interest.
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The MACD (DIF: -0.25, DEA: -0.44, MACD: +0.39) has just issued a bullish crossover signal.
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The 6-day RSI at 80.06 indicates the stock is in overbought territory, suggesting near-term consolidation is possible.
Key Price Levels
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Primary Support: $34.09 (Previous resistance turned support).
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Immediate Pivot: $36.93 (Today's close).
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Strong Resistance: $41.32 (52-week high). A decisive break above this level could open the path to higher targets.
Valuation Perspective
Forward P/E of 15.25 is below its historical average of 20.04, suggesting the stock may be reasonably valued relative to its own earnings trajectory, despite a high TTM P/E of 159.15.
Analyst Targets
Coverage from 22 analysts shows a consensus Buy rating. The average price target is $42.99, implying ~16% upside from the current price.
Weekly Outlook
Expect consolidation between $36.00 and $39.50 after the sharp rally. A sustained break above $41.32 could target the $43-$45 range. A drop below $34.09 would signal a failure of the breakout.
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