
Penn Entertainment (PENN) Stock Forecast & Price Target
Penn Entertainment (PENN) Analyst Ratings
Bulls say
PENN Entertainment has positioned itself favorably within the gaming industry by leveraging its expansive portfolio of 43 properties across 20 states, generating an impressive mid-30% EBITDAR margin primarily from land-based casinos, which contributed significantly to total sales in 2024. The company's interactive segment, which is expected to see a +20% year-over-year growth in FY25, is further enhanced by its media assets like theScore and a partnership with ESPN, enabling strong synergies between digital and retail markets. Additionally, the successful launch of the standalone Hollywood iCasino app and recent improvements in product offerings have contributed to market share expansion, solidifying PENN's competitive position in the rapidly evolving gaming landscape.
Bears say
PENN Entertainment's stock has experienced a decline of 30% over the past two years, primarily attributed to uninspiring financial performance influenced by competitive pressures, low-end consumer challenges, and high operational leverage. The company's fourth-quarter EBITDAR was slightly below consensus expectations, with its Interactive segment showing particularly weak performance, characterized by a significant adjusted revenue loss and an AEBITDA deficit. Furthermore, the ongoing challenges facing the Interactive segment along with anticipated elevated capital expenditures imply that free cash flow will remain suppressed, casting a negative outlook on PENN's future financial prospects.
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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