
Penn Entertainment (PENN) Stock Forecast & Price Target
Penn Entertainment (PENN) Analyst Ratings
Bulls say
PENN Entertainment has demonstrated strong fundamentals with its land-based casinos generating 85% of total sales in 2024, yielding mid-30% EBITDAR margins that position the company favorably in the digital wagering markets. The company is also experiencing positive trends in the iCasino segment, with Michigan showing an increasing quarterly growth rate in gross gaming revenue (GGR) share. Furthermore, the acquisition of media assets, including theScore and ESPN, enhances PENN's positioning in sports betting and iGaming, indicating a promising future trajectory for digital expansion.
Bears say
Penn Entertainment experiences a sequential share loss attributed to a decline in promotional reinvestment as a percentage of handle, which is significantly below average levels across many states. This situation is compounded by muted regional fundamentals, leading to a current valuation that, while below historical averages, incorporates the challenges faced by the company, particularly in scaling its Interactive segment profitably. Furthermore, potential downside risks that may adversely affect the company's performance include deteriorating economic conditions, new competitive entries, and increasing 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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