Takeaways
- MGM has reported a cyberattack to regulators, suggesting the hack will have a material effect on the company.
- Moody's said the breach could have a negative effect on MGM's credit rating. the hotel and casino operator.
- A ransomware group is believed to have been behind the attack, which is still disrupting the attack's systems ;company.
Shares of MGM Resorts International (MGM) fell after the hotel and casino operator notified the Securities and Exchange Commission (SEC) of a cybersecurity attack, suggesting that the company's security could be compromised. it would have a significant effect on the business.
Moody's also has warned that the issue could impact MGM's credit rating, saying the attack “highlights key risks” to its operations as they rely heavily on technology.
The hack has disrupted the company's systems since Sunday. Its business messaging, hotel booking and restaurant reservation services remain offline.
MGM indicated that ;she was investigating, and is assisted by external cybersecurity experts and law enforcement. The FBI acknowledged it was looking into the matter.
Shares of MGM Resort International fell for three consecutive sessions, and they fell to their lowest level since early June.
YCharts. Do you have a news tip for Investopedia journalists? Please email us at tips@investopedia.com
Source: investopedia.com
