Melco Resorts & Entertainment Limited (MLCO) vs STUDIO CITY IH (MSC)

Melco Resorts & Entertainment Limited and STUDIO CITY IH are both Resorts & Casinos companies. Melco Resorts & Entertainment Limited is the larger, with a market value of $1.8B against $161.8M — 11.1× the size. STUDIO CITY IH has negative trailing earnings, so its P/E is not meaningful; Melco Resorts & Entertainment Limited trades at 7.9×. Melco Resorts & Entertainment Limited grew revenue faster over the last twelve months: 5.99% against 0.71%. Melco Resorts & Entertainment Limited has the higher net margin (4.50% vs −7.57%) and the higher return on invested capital (8.05% vs 1.95%). Across the 18 metrics below, Melco Resorts & Entertainment Limited leads on 12 and STUDIO CITY IH on 6.

Valuation

Metric MLCO MSC Resorts & Casinos median
P/E 7.88 n/m 18.52
P/S 0.35 0.23 0.54
P/B n/m 0.29 2.13
Price to free cash flow 1.90 1.64 13.62
EV/EBITDA 12.72 26.94 9.18
EV/Sales 1.55 2.94 1.80
Earnings yield 12.68% (34.22%) 1.69%
Free cash flow yield 52.63% 60.84% 6.51%

Profitability

Metric MLCO MSC Resorts & Casinos median
Gross margin 36.85% 69.26% 50.85%
Operating margin 12.21% 10.92% 10.41%
Net margin 4.50% (7.57%) 1.28%
Free cash flow margin 0.00% 0.00% 4.23%
Return on equity (19.59%) (9.30%) 5.28%
Return on assets 3.09% (1.84%) 0.57%
Return on invested capital 8.05% 1.95% 5.61%

Growth

Metric MLCO MSC Resorts & Casinos median
Revenue growth (TTM) 5.99% 0.71% 2.76%
EPS growth (last fiscal year) 360.00% 38.00% —
Revenue growth, 5-year CAGR 24.47% 69.80% 24.21%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric MLCO MSC Resorts & Casinos median
Debt to equity (5.43) 3.73 1.94
Current ratio 1.01 0.76 0.91
Net debt to EBITDA 5.04 6.68 3.08

Dividend

Metric MLCO MSC Resorts & Casinos median
Dividend yield — — 1.27%
Payout ratio 0.00 0.00 0.00

Size

Metric MLCO MSC Resorts & Casinos median
Market cap 1.80b 161.78m 2.43b

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