Professional
Added to YB: 2024-02-20
Pitch date: 2024-02-16
PENN [bullish]
PENN Entertainment, Inc.
-27.16%
current return
Author Info
No bio for this author
Company Info
PENN Entertainment, Inc., together with its subsidiaries, provides integrated entertainment, sports content, and casino gaming experiences.
Market Cap
$1.6B
Pitch Price
$18.30
Price Target
27.00 (+103%)
Dividend
N/A
EV/EBITDA
8.35
P/E
-1.94
EV/Sales
1.77
Sector
Hotels, Restaurants and Leisure
Category
turnaround
PENN Entertainment, Inc.: Digital Business More Promotional Near Term, but Ramping Profits on the Horizon
PENN -14% on Q4 promo surge for betting & iGaming, but seen aiding long-term profits. Fair value cut to $27 on promo hit & rivalry. 20% EBITDA margin goal by 2030. Regional sales & interactive net sales dip, but 7% share kept post-promo norm. 43 casinos + digital/media for 10% of betting & iGaming mkt share by 2027, 38% of total sales. $1.3B debt due 2026-27 manageable w/ liquidity & FCF. Risks: no moat, debt, rivalry in low-barrier US gaming mkt.
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