PENN Entertainment (NASDAQ:PENN) Stock Price Up 7.2% - Here's Why

Key Points

• PENN Entertainment shares jumped 7.2% to approximately $17.03 in mid-day trading, although volume was 92% below the stock’s average daily volume.
• Analyst sentiment is broadly positive: Zacks upgraded the stock to “strong buy,” while Piper Sandler and Capital One also raised their ratings. PENN has an overall “Moderate Buy” consensus and an average price target of $23.61.
• The company exceeded quarterly EPS expectations, reporting $0.44 versus the $0.37 consensus estimate, while revenue rose 5.2% year over year to $1.86 billion. Institutional investors own approximately 91.69% of the stock.

PENN Entertainment, Inc. (NASDAQ:PENN - Get Free Report)'s stock price shot up 7.2% during mid-day trading on Monday. The stock traded as high as $16.93 and last traded at $17.0270. Approximately 307,270 shares traded hands during trading, a decline of 92% from the average daily volume of 3,665,011 shares. The stock had previously closed at $15.89.

Analyst Upgrades and Downgrades

Several research analysts have recently commented on the company. Zacks Research raised PENN Entertainment from a "hold" rating to a "strong-buy" rating in a report on Monday, October 12th. The Goldman Sachs Group set a $23.00 target price on shares of PENN Entertainment in a research note on Tuesday, October 13th. Citizens Jmp raised their target price on shares of PENN Entertainment from $24.00 to $26.00 and gave the company a "market outperform" rating in a research note on Thursday, July 16th. Piper Sandler upgraded shares of PENN Entertainment from a "neutral" rating to a "buy" rating and set a $26.00 target price for the company in a research report on Tuesday, October 13th. Finally, Capital One Financial upgraded shares of PENN Entertainment from an "equal weight" rating to an "overweight" rating and set a $26.00 price objective on the stock in a research report on Thursday, July 23rd. One analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $23.61.

PENN Entertainment Price Performance

The stock has a market cap of $2.30 billion, a PE ratio of -2.70, a P/E/G ratio of 0.41 and a beta of 1.40. The business has a fifty day simple moving average of $16.08 and a two-hundred day simple moving average of $16.78. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 3.79.

PENN Entertainment (NASDAQ:PENN - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The company reported $0.44 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.37 by $0.07. PENN Entertainment had a positive return on equity of 2.93% and a negative net margin of 12.66%. The business had revenue of $1.86 billion during the quarter, compared to the consensus estimate of $1.86 billion. During the same quarter in the prior year, the company earned ($0.12) earnings per share. The firm's quarterly revenue was up 5.2% compared to the same quarter last year. Research analysts forecast that PENN Entertainment, Inc. will post 1.20 earnings per share for the current year.

Institutional Investors Weigh In On PENN Entertainment

Several hedge funds have recently added to or reduced their stakes in the stock. Nykredit A S bought a new position in shares of PENN Entertainment during the second quarter valued at $25,000. Northwestern Mutual Wealth Management Co. bought a new position in PENN Entertainment in the 2nd quarter worth about $66,000. Versant Capital Management Inc grew its position in PENN Entertainment by 29.6% during the 3rd quarter. Versant Capital Management Inc now owns 3,513 shares of the company's stock valued at $51,000 after purchasing an additional 803 shares during the last quarter. IFP Advisors Inc grew its position in PENN Entertainment by 103.1% during the 3rd quarter. IFP Advisors Inc now owns 3,920 shares of the company's stock valued at $57,000 after purchasing an additional 1,990 shares during the last quarter. Finally, GAMMA Investing LLC grew its position in PENN Entertainment by 19.4% during the 2nd quarter. GAMMA Investing LLC now owns 5,506 shares of the company's stock valued at $118,000 after purchasing an additional 895 shares during the last quarter. 91.69% of the stock is owned by institutional investors.

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.

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