
Penn Entertainment (PENN) Stock Forecast & Price Target
Penn Entertainment (PENN) Analyst Ratings
Bulls say
Penn Entertainment has demonstrated a strong performance with its land-based casinos generating 85% of total sales and achieving mid-30s EBITDAR margins, positioning the company favorably for digital licensing opportunities in the wagering markets. The Company's proactive approach towards its media assets, especially the partnership with ESPN and theScore, enhances its competitive edge in sports betting and iGaming, establishing a robust digital presence. Furthermore, recent trends indicate a positive trajectory in iCasino GGR share growth in key markets like Michigan, which, alongside reported B&M GGR growth, supports an encouraging outlook for future earnings.
Bears say
Penn Entertainment has experienced a sequential share loss primarily attributed to promotional activities, with reinvestment as a percentage of handle declining more than the market average. The company's current valuation, which is below historical averages, reflects muted regional fundamentals, with potential for a retail multiple re-rate reliant on previously challenging-to-forecast gross gaming revenue (GGR) and margin improvements. Further downside risks include difficulties in profitably scaling the interactive segment, adverse economic conditions, new competition, severe weather, and increases in gaming tax rates or regulatory changes.
This aggregate rating is based on analysts' research of Penn Entertainment and is not a guaranteed prediction by Public.com or investment advice.
Penn Entertainment (PENN) Analyst Forecast & Price Prediction
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