MGMCAUTIOUS

MGM Debt-to-Equity Ratio Analysis

2.41x

Updated 561h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio measures how much a company relies on borrowed funds versus shareholder equity, where a higher value indicates greater financial leverage and risk.

Sector Performance

90th percentile

MGM

2.41x

Sector Median

0.74x

Sector Avg

2.51x

Prior Period

2.63x(Jul 2026)

↑ Improving

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Deep Analysis

The debt-to-equity ratio measures how much a company relies on borrowed funds versus shareholder equity, where a higher value indicates greater financial leverage and risk.

At 2.41x, MGM carries over twice as much debt as equity, a level far above the sector median of 0.74x and placing it in the 91st percentile among sector peers. The year-over-year change is not available, but the quarter-over-quarter change shows a decline of 8.4%, with the ratio falling from 2.63x to 2.41x in the most recent comparison. This combination of a very high debt load with a recent downward move suggests the company is still highly leveraged, though it is taking steps to reduce that burden. For an investor, the level signals elevated financial risk, while the quarterly improvement offers a potential sign of deleveraging. This metric supports the overall CAUTIOUS verdict, as the high debt-to-equity ratio stands as a clear concern even with the recent reduction.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about MGM?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

Who are MGM's closest peers by Debt-to-Equity Ratio?

The closest peers by Debt-to-Equity Ratio include: TAP (0.76x), PCAR (0.72x), O (0.78x), PRU (0.78x), KIM (0.85x).

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Learn More About Debt-to-Equity Ratio

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Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.