UPDATE: Ascendiant Initiates Coverage on MGM Resorts

In Friday morning's reports, Ascendiant Capital Markets analyst Jeffrey Logsdon announces initiation of coverage on MGM Resorts International (NYSE: MGM) with a Buy rating and a price target of $33.

The report highlights the optimism on MGM stating that the company offers the best play in the Las Vegas recovery, as well as the growth in Macau.

Logsdon comments, "MGM has grown its 51% owned Macau property from $1.54 billion in 2011 in revenues to $3.3 billion last year. Its market share amongst Macau casino operators has been hovering in the 9%-10% range in the past year or two since new capacity opened on the Cotai peninsula. We believe MGM should continue to see close to double-digit revenue and property level EBITDA growth over the next year or two before its new Cotai property opens in 1H2016."

Other bright spots include balancing debt, refinancing from higher cost debts to better market value rates, and domestic expansion in the New England coast, acquiring a gaming license in Maryland.

MGM closed on Thursday at 28.39 and has a 16 percent upside from current prices with the $33 price target.