Professional
Added to YB: 2024-06-07
Pitch date: 2024-05-31
PENN [bullish]
PENN Entertainment, Inc.
-19.23%
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
$1.8B
Pitch Price
$17.68
Price Target
22.00 (+54%)
Dividend
N/A
EV/EBITDA
8.54
P/E
-2.28
EV/Sales
1.81
Sector
Hotels, Restaurants and Leisure
Category
value
PENN Entertainment, Inc.: Investor Donerail Sees Value in Shares, and We Agree
PENN at $41: Donerail pushes focus on physical casinos, sees $23-$30/sh value (6.5-8x '24 EBITDA). We agree shares undervalued at 20-25% discount to our $22 FVE. Like digital biz long-term despite losses. Expect 6% betting rev share by '27 (was 7%), 20%+ margins. Competitive US market caps returns. Weak Q1 hold & spending to pressure margins. $2.6B '24-28 FCF covers debt. High uncertainty.
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