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Trading Vegas: Plays on 2 casino stocks

Investors thinking of buying MGM Resorts stock because of Saturday's enormously lucrative boxing match should be wary, CNBC "Fast Money" trader Brian Kelly said Friday.

The welterweight bout between Floyd Mayweather Jr. and Manny Pacquiao—which is expected to break boxing revenue records—will be held at the resort and casino company's MGM Grand in Las Vegas. But Kelly noted that MGM shares have moved only slightly higher ahead of the event, limiting their upside.

"I would just stay away completely from the casino space right now," he said.

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MGM shares closed more than 1 percent higher on Friday. Still, the move took the stock barely positive for the year.

Gabriel Bouys | AFP | Getty Images

Trader Tim Seymour saw great risk-reward in MGM, as it closed just above $21 per share on Friday. It makes a strong investment, not just trade, he said.

MGM looks more appealing than competitor Wynn Resorts, trader Steve Grasso said.

"If you want to play Vegas, you play with MGM," he said.

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Trader Guy Adami said Wynn could make a good trade around $108 per share, about $5 lower than its Friday closing price.

Disclosures:

Tim Seymour

Tim Seymour is long T, BAC, DIS, EUO, F, GE, GM, GOOGL, INTC and SUNE. Tim's firm is long BABA, AAPL, CLF, MCD, NKE, NOK, SBUX and YHOO.

Steve Grasso

Steve Grasso is long AAPL, BAC, BTU, DD, EVGN, MJNA, PFE, T, TWTR and GDX. His firm is long TWTR, WYNN, AMZN, AMD, FCX, OXY, RIG, NE, TSE and VALE. His kids own EFG, EFA, EWJ, IJR and SPY.

Brian Kelly

Brian Kelly is long BTC=, BBRY, SPY puts and U.S. dollar. He is short Australian dollar. He is short DAX, yen and yuan. Today, he sold crude oil, GLD, GSG, and bought 30-year bond futures.

Guy Adami

Guy Adami is long CELG, EXAS and INTC. Guy Adami's wife, Linda Snow, works at Merck.