MGM Is Out of New York Casino Competition. Here's Why it May Be Good for the Stock.

There are surprises and there are outright shockers. Put MGM Resorts International's (NYSE: MGM) decision to drop out of the race for a New York City casino license in the latter category.First, a quick history lesson. The largest operator of casino hotels on the Las Vegas Strip in 2018 announced an $850 million deal to buy Empire City Casino in Yonkers, New York, closing that transaction in January 2019. That acquisition was validated because MGM rapidly turned the slots-only venue into one of the highest-grossing regional casinos in the country, and in 2022, New York lawmakers approved plans to issue three licenses for Las Vegas-style gaming venues in the Big Apple.That process ramped up in earnest last year, and throughout, consensus wisdom among gaming industry experts and Empire State political observers was that Empire City was a lock to land one of the three permits. After all, MGM has an established track record with state regulators and under its stewardship, Empire City delivered billions of dollars in tax receipts to state coffers.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool