PENN Entertainment, Inc. (NASDAQ:PENN) Stock Rated “Moderate Buy” by Sell-Side Analysts

PENN Entertainment, Inc. (NASDAQ:PENN) has been assigned a consensus recommendation of “Moderate Buy” from the twenty-one research firms that are currently covering the firm, Marketbeat.com reports. One investment analyst has rated the stock with a sell recommendation, five have given a hold recommendation, fourteen have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month target price among brokers that have covered the stock in the last year is $23.56.

Several analysts have weighed in on the company. Needham & Company LLC reissued a “hold” rating on shares of PENN Entertainment in a report on Friday. The Goldman Sachs Group reiterated a “buy” rating and issued a $21.00 price objective on shares of PENN Entertainment in a research report on Friday. Capital One Financial raised PENN Entertainment from an “equal weight” rating to an “overweight” rating and set a $26.00 target price for the company in a report on Thursday, July 23rd. Weiss Ratings reissued a “sell (d-)” rating on shares of PENN Entertainment in a research report on Monday, September 21st. Finally, Citizens Jmp increased their price target on shares of PENN Entertainment from $24.00 to $26.00 and gave the company a “market outperform” rating in a research report on Thursday, July 16th.

Hedge Funds Weigh In On PENN Entertainment

A number of large investors have recently modified their holdings of PENN. BlackRock Inc. bought a new stake in shares of PENN Entertainment in the 2nd quarter valued at approximately $410,579,000. Bank of America Corp DE bought a new stake in PENN Entertainment in the second quarter worth $108,919,000. Bamco Inc. NY bought a new position in shares of PENN Entertainment during the 2nd quarter valued at approximately $58,624,000. Arrowstreet Capital Limited Partnership increased its stake in PENN Entertainment by 9.2% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,323,554 shares of the company’s stock worth $34,923,000 after buying an additional 196,480 shares during the period. Finally, Penn Capital Management Company LLC grew its stake in shares of PENN Entertainment by 6.2% during the 2nd quarter. Penn Capital Management Company LLC now owns 1,186,487 shares of the company’s stock worth $25,391,000 after purchasing an additional 69,674 shares during the period. 91.69% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting PENN Entertainment

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

• Positive Sentiment: PENN reported third-quarter adjusted earnings of $0.32 per share, above analysts’ estimates, while revenue of $1.84 billion was roughly in line and increased 7.1% year over year. The company swung to a profit from a loss in the year-ago quarter. PENN Entertainment reports third-quarter results
• Positive Sentiment: Reports highlighted growth from U.S. iCasino and Canada, alongside improved revenue and adjusted EBITDA. The second tower at M Resort is also continuing to contribute to revenue. These trends support the case for continued digital and property-level growth. U.S. iCasino and Canada drive growth
• Positive Sentiment: Wells Fargo raised its price target to $23 from $22, while keeping an “equal weight” rating. The higher target is supportive, though the unchanged rating signals a neutral analyst stance. Wells Fargo rating and price-target update
• Neutral Sentiment: PENN is reportedly not prioritizing acquisitions, suggesting management is focusing on its existing business rather than pursuing deals. The impact depends on execution and the returns from organic growth. PENN is not prioritizing acquisitions
• Neutral Sentiment: A renewed push for gambling in Texas may follow the midterm elections, but this remains a potential future opportunity rather than an immediate revenue driver. Texas gambling push after the midterm elections
• Negative Sentiment: Gaming-sector sentiment was pressured by DraftKings’ sharp decline after its outlook disappointed investors, with coverage also reporting declines for PENN and other operators. Concerns about competition and spending on prediction markets could weigh on perceptions of the broader online betting industry. Gaming stocks fall amid DraftKings outlook concerns

PENN Entertainment Stock Performance

PENN opened at $17.43 on Monday. The company has a debt-to-equity ratio of 3.79, a current ratio of 0.89 and a quick ratio of 0.89. PENN Entertainment has a 1 year low of $11.65 and a 1 year high of $22.36. The business has a fifty day simple moving average of $16.01 and a 200 day simple moving average of $16.86. The company has a market capitalization of $2.34 billion, a PE ratio of 42.55, a price-to-earnings-growth ratio of 0.44 and a beta of 1.40.

PENN Entertainment (NASDAQ:PENN) last announced its quarterly earnings results on Thursday, November 5th. The company reported $0.32 earnings per share for the quarter, beating the consensus estimate of $0.17 by $0.15. The firm had revenue of $1.84 billion for the quarter, compared to analysts’ expectations of $1.84 billion. PENN Entertainment had a positive return on equity of 2.93% and a negative net margin of 12.66%. The company’s revenue was up 7.1% on a year-over-year basis. During the same period in the prior year, the business posted ($0.22) earnings per share. Research analysts expect that PENN Entertainment will post 1.20 EPS for the current year.

PENN Entertainment Company Profile

PENN Entertainment, Inc is a North American provider of integrated entertainment, gaming and sports betting. The company operates casinos, racetracks and video gaming terminals, offering slot machines, table games, poker, sports wagering, hotel accommodations, restaurants, entertainment venues and other amenities.

PENN’s portfolio includes regional gaming properties operating under brands such as Hollywood Casino, Ameristar, L’Auberge and M Resort. Its land-based operations serve customers across numerous U.S.