New York, Feb 19, 2026, 06:25 EST — Premarket
- MGM jumped last session, with casino stocks riding a wave of upbeat sector headlines.
- New Las Vegas travel demand numbers are grabbing attention before the market opens.
- A court fight over prediction markets has kicked up discussion in the U.S. sports betting world.
MGM Resorts International jumped 8.5% to finish Wednesday at $37.19, landing the casino heavyweight back in focus for Thursday’s session. (Reuters)
The rally hit a snag overnight. Las Vegas pulled in about 3.1 million fewer tourists in 2025, a 7.5% year-on-year decline, marking the sharpest non-pandemic drop since 1970, according to the Las Vegas Convention and Visitors Authority. “Our peaks are still peaks, and our valleys are softer,” said James Chrisley, who heads the Clark County Aviation Department. Tour guide Michael Hillman didn’t mince words: “Ten bucks for a bottle of water.” (Reuters)
This is hitting right now because MGM stands as a Strip heavyweight. Investors are left weighing upbeat commentary about better trends into 2026 against weaker midweek traffic and stepped-up discounting—both pressure margins.
Shares across the sector moved higher as Caesars Entertainment’s earnings and remarks eased investor concerns around Las Vegas traffic. Caesars CEO Tom Reeg waved off talk of a “Vegas crisis,” according to Barron’s.
Caesars reported fourth-quarter net revenues of $2.9 billion, with same-store adjusted EBITDA coming in at $901 million. The metric, which stands for earnings before interest, taxes, depreciation and amortization, is widely viewed as a proxy for cash operating profit. (Caesars)
There’s more turbulence in U.S. sports betting. Nevada’s Gaming Control Board has filed a lawsuit aimed at stopping prediction-market platform Kalshi from letting state residents trade on sports event contracts—a move that throws the ongoing regulatory debate over the boundary between derivatives and gambling into sharp relief. (Reuters)
This comes after a Massachusetts judge banned Kalshi from listing sports-event contracts in the state for 30 days earlier this month, highlighting how enforcement may play out differently depending on the state. (Reuters)
Earnings earlier this month were the last major catalyst for MGM, as the company topped profit estimates thanks to a boost from its digital operations—spanning online sports betting and iGaming. (Reuters)
The downside? It’s pretty clear. Should leisure travel keep tapering off, notably during the week, Strip operators could be pushed to juice demand with more promotions, dining perks, or slashed room prices. Those tactics don’t tend to do earnings any favors.
Outside of the casino space, macro data looms. U.S. stock index futures slipped in early Thursday action. Weekly jobless claims are on deck later this day, and the Fed’s go-to inflation barometer, the personal consumption expenditures report, is lined up for Friday. (Reuters)
MGM watchers are tracking two things: spring booking trends on the Strip—will the numbers get any softer?—and court action on the Kalshi case, which could move fast. Traders, for their part, have eyes on the PCE report coming Friday, Feb. 20, for fresh signals about the consumer, a key force behind U.S. travel and gaming demand.
