Benchmark Raises PENN Entertainment (NASDAQ:PENN) Price Target to $22.00

PENN Entertainment (NASDAQ:PENN) had its price target boosted by investment analysts at Benchmark from $21.00 to $22.00 in a report released on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Benchmark’s price objective would indicate a potential upside of 8.75% from the company’s previous close.

Other research analysts have also recently issued reports about the stock. Mizuho set a $28.00 price objective on shares of PENN Entertainment in a report on Friday. The Goldman Sachs Group started coverage on PENN Entertainment in a report on Friday, June 26th. They set a “buy” rating and a $26.00 price target for the company. Stifel Nicolaus increased their target price on shares of PENN Entertainment from $23.00 to $25.00 and gave the company a “buy” rating in a report on Friday, June 12th. Truist Financial lifted their target price on shares of PENN Entertainment from $20.00 to $25.00 and gave the stock a “buy” rating in a research report on Friday, June 26th. Finally, Deutsche Bank Aktiengesellschaft upped their target price on PENN Entertainment from $17.00 to $18.00 and gave the company a “hold” rating in a report on Friday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $23.28.

PENN Entertainment Stock Up 0.5%

PENN stock traded up $0.10 during trading on Friday, reaching $20.23. 1,160,116 shares of the stock were exchanged, compared to its average volume of 3,976,823. The firm’s 50 day moving average is $20.75 and its 200 day moving average is $16.95. The firm has a market cap of $2.71 billion, a P/E ratio of -3.01, a price-to-earnings-growth ratio of 0.37 and a beta of 1.43. The company has a current ratio of 0.82, a quick ratio of 0.82 and a debt-to-equity ratio of 3.94. PENN Entertainment has a twelve month low of $11.65 and a twelve month high of $22.36.

PENN Entertainment (NASDAQ:PENN) last issued its earnings results on Thursday, August 6th. The company reported $0.44 earnings per share for the quarter, topping analysts’ consensus estimates of $0.37 by $0.07. PENN Entertainment had a positive return on equity of 0.44% and a negative net margin of 13.55%.The company had revenue of $1.86 billion for the quarter, compared to analyst estimates of $1.86 billion. During the same period in the prior year, the firm earned ($0.12) earnings per share. PENN Entertainment’s revenue for the quarter was up 5.2% on a year-over-year basis. As a group, research analysts forecast that PENN Entertainment will post 1.39 EPS for the current year.

Hedge Funds Weigh In On PENN Entertainment

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Caxton Associates LLP purchased a new position in shares of PENN Entertainment in the first quarter worth approximately $246,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in PENN Entertainment by 30.2% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 344,565 shares of the company’s stock valued at $5,620,000 after buying an additional 79,978 shares during the period. Russell Investments Group Ltd. boosted its stake in shares of PENN Entertainment by 6.7% during the second quarter. Russell Investments Group Ltd. now owns 64,280 shares of the company’s stock valued at $1,150,000 after purchasing an additional 4,011 shares in the last quarter. First Trust Advisors LP raised its holdings in PENN Entertainment by 169.6% in the second quarter. First Trust Advisors LP now owns 94,575 shares of the company’s stock worth $1,690,000 after purchasing an additional 59,489 shares in the last quarter. Finally, Marshall Wace LLP raised its stake in shares of PENN Entertainment by 80.2% during the 2nd quarter. Marshall Wace LLP now owns 386,871 shares of the company’s stock worth $6,913,000 after acquiring an additional 172,158 shares in the last quarter. 91.69% of the stock is owned by institutional investors.

Key Headlines Impacting PENN Entertainment

Here are the key news stories impacting PENN Entertainment this week:

• Positive Sentiment: Q2 earnings beat expectations: PENN reported adjusted earnings of $0.44 per share, above analyst estimates ranging from $0.35 to $0.37 and well ahead of the year-ago result. Revenue reached $1.86 billion, matching estimates and increasing 5.2% year over year. PENN Entertainment Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Improved operating outlook: Management is targeting more than 20% growth in 2026 adjusted EBITDAR and raised its retail revenue guidance to $5.87 billion. The forecast suggests broad-based casino demand and continued improvement in profitability, supporting the stock’s upward reaction. PENN Targets 2026 Adjusted EBITDAR Growth
• Positive Sentiment: Positive analyst momentum: Zacks added PENN to its Rank #1, or “Strong Buy,” growth-stock list, reinforcing the favorable interpretation of the earnings beat and growth outlook. Best Growth Stocks to Buy
• Neutral Sentiment: Prediction-market uncertainty: PENN is maintaining its strategy despite expecting an “arms race” among prediction-market operators this fall. The competitive environment could affect customer acquisition costs and the company’s digital gaming ambitions. PENN Holds Course Despite Prediction Market Competition
• Negative Sentiment: Balance-sheet risks remain: Despite the quarterly improvement, PENN continues to post a negative net margin and carries substantial debt, with a debt-to-equity ratio of approximately 3.94. These risks may limit the stock’s upside if growth or digital profitability falls short.

PENN Entertainment Company Profile

PENN Entertainment, Inc (NASDAQ: PENN) is a leading operator of gaming and racing facilities in the United States. The company’s business activities encompass land-based casinos, pari-mutuel racetracks, off-track wagering, and ancillary amenities such as hotels, restaurants and entertainment venues. In August 2022, the company rebranded from Penn National Gaming to PENN Entertainment to reflect its expanding footprint across digital and traditional segments of the gaming industry.

The company’s portfolio includes well-known properties under the Hollywood Casino and Ameristar Casino brands, located across multiple states including Pennsylvania, Ohio, Missouri and West Virginia.