Citigroup Forecasts Strong Price Appreciation for PENN Entertainment (NASDAQ:PENN) Stock

Key Points

• Citigroup raised its price target on PENN Entertainment from $17 to $19 but maintained a neutral rating; the new target implies 2.26% upside from the prior close.
• Analyst sentiment overall is more positive: PENN has a consensus “Moderate Buy” rating and an average price target of $23.67.
• PENN reported quarterly EPS of $0.32, above the $0.17 consensus estimate, while revenue of $1.84 billion matched expectations and rose 7.1% year over year.

PENN Entertainment (NASDAQ:PENN - Get Free Report) had its price objective lifted by investment analysts at Citigroup from $17.00 to $19.00 in a report released on Monday, Benzinga reports. The firm currently has a "neutral" rating on the stock. Citigroup's price target suggests a potential upside of 2.26% from the company's previous close.

Several other equities research analysts also recently weighed in on the company. Weiss Ratings reissued a "sell (d-)" rating on shares of PENN Entertainment in a report on Monday, September 21st. Barclays lifted their target price on shares of PENN Entertainment from $26.00 to $27.00 and gave the company an "overweight" rating in a report on Friday, October 9th. JPMorgan Chase & Co. reduced their price target on shares of PENN Entertainment from $27.00 to $24.00 and set an "overweight" rating for the company in a research report on Tuesday, October 20th. Benchmark increased their price target on shares of PENN Entertainment from $21.00 to $22.00 and gave the stock a "buy" rating in a research note on Friday, August 7th. Finally, Bank of America lifted their price objective on shares of PENN Entertainment from $18.00 to $22.00 and gave the company a "neutral" rating in a research note on Monday, July 20th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, PENN Entertainment currently has a consensus rating of "Moderate Buy" and an average price target of $23.67.

PENN Entertainment Stock Up 6.6%

NASDAQ:PENN traded up $1.15 during midday trading on Monday, hitting $18.58. 1,081,072 shares of the company were exchanged, compared to its average volume of 3,680,192. The company has a fifty day simple moving average of $16.01 and a 200 day simple moving average of $16.86. PENN Entertainment has a fifty-two week low of $11.65 and a fifty-two week high of $22.36. The company has a current ratio of 0.96, a quick ratio of 0.96 and a debt-to-equity ratio of 3.69. The company has a market capitalization of $2.49 billion, a PE ratio of -206.27, a price-to-earnings-growth ratio of 0.45 and a beta of 1.40.

PENN Entertainment (NASDAQ:PENN - Get Free Report) last released its quarterly earnings data on Thursday, November 5th. The company reported $0.32 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.17 by $0.15. The company had revenue of $1.84 billion during the quarter, compared to the consensus estimate of $1.84 billion. PENN Entertainment had a negative net margin of 0.13% and a positive return on equity of 6.99%. PENN Entertainment's revenue for the quarter was up 7.1% on a year-over-year basis. During the same quarter in the prior year, the firm posted ($0.22) earnings per share. As a group, equities analysts anticipate that PENN Entertainment will post 1.20 earnings per share for the current fiscal year.

Hedge Funds Weigh In On PENN Entertainment

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Allworth Financial LP increased its stake in PENN Entertainment by 122.5% in the third quarter. Allworth Financial LP now owns 13,637 shares of the company's stock valued at $200,000 after purchasing an additional 7,508 shares during the last quarter. Eurizon Capital SGR S.p.A. acquired a new position in shares of PENN Entertainment in the 3rd quarter valued at $25,000. Maryland State Retirement & Pension System increased its holdings in shares of PENN Entertainment by 53.7% during the 3rd quarter. Maryland State Retirement & Pension System now owns 28,510 shares of the company's stock worth $418,000 after buying an additional 9,961 shares during the last quarter. Jefferies Financial Group Inc. increased its holdings in shares of PENN Entertainment by 132.9% during the 3rd quarter. Jefferies Financial Group Inc. now owns 28,900 shares of the company's stock worth $423,000 after buying an additional 16,492 shares during the last quarter. Finally, Keybank National Association OH purchased a new position in shares of PENN Entertainment in the 3rd quarter worth $200,000. 91.69% of the stock is currently owned by hedge funds and other institutional investors.

PENN Entertainment Company Profile

PENN Entertainment is a diversified gaming and entertainment company that operates casinos, racetracks and sports betting facilities. Its properties offer casino games, hotel accommodations, dining, live entertainment and other hospitality services, with brands including Hollywood Casino, Ameristar and L'Auberge.

The company also offers online sports betting and iCasino products in markets where they are permitted. Its digital operations complement its retail properties and include the PENN Play customer loyalty program.

Founded as Penn National Gaming, the company adopted the name PENN Entertainment in 2022.

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