Don't sweat the short term

Implications: MGM Mirage has the right approach to the current economic environment

Analysis: MGM Mirage has really got their head on straight as they approach the current economic climate. In my mind MGM has the finest management team at the corporate level as well as at the individual property level. They are currently spending money in an expansive way to upgrade and update the properties they bought from Mandalay (Luxor, Excalibur, Mandalay Bay). Have spent significant money at the Mirage and basicly have decided to proceed with these rehabs in the face of a downturn therefore having superior product available when the inevitable economic rebound occurrs. In addition, MGM is committed to buying back their stock and have stated that their non gaming arm of the company will be aggressively expanded and who knows, in the future, may be spun off as a separate company. This group has a great development pipeline, be it the Kerzner partnership, an AC property or the city center property in vegas. All in all, this company is the shining star of gaming and will be the leader in the rebound of gaming stocks