PENN Entertainment (NASDAQ:PENN) Reaches New 1-Year Low – What’s Next?

PENN Entertainment, Inc. (NASDAQ:PENN) shares reached a new 52-week low on Wednesday . The stock traded as low as $13.22 and last traded at $13.2580, with a volume of 3077495 shares. The stock had previously closed at $13.74.

Analyst Upgrades and Downgrades

PENN has been the subject of several recent analyst reports. Morgan Stanley decreased their price objective on shares of PENN Entertainment from $17.00 to $15.00 and set an “equal weight” rating for the company in a report on Friday, January 16th. Jefferies Financial Group reissued a “hold” rating and set a $17.00 price objective on shares of PENN Entertainment in a research report on Wednesday, December 24th. Needham & Company LLC reiterated a “hold” rating on shares of PENN Entertainment in a research report on Friday, November 7th. Deutsche Bank Aktiengesellschaft lowered their price objective on shares of PENN Entertainment from $19.00 to $17.00 and set a “hold” rating for the company in a research report on Friday, November 7th. Finally, Citizens Jmp decreased their price objective on shares of PENN Entertainment from $25.00 to $24.00 and set a “market outperform” rating for the company in a report on Friday, November 7th. Ten analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, PENN Entertainment presently has an average rating of “Hold” and a consensus target price of $21.13.

PENN Entertainment Stock Down 3.6%

The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 3.65. The firm has a market cap of $1.77 billion, a price-to-earnings ratio of -2.09, a PEG ratio of 0.47 and a beta of 1.34. The firm’s 50 day simple moving average is $14.34 and its two-hundred day simple moving average is $16.71.

PENN Entertainment (NASDAQ:PENN) last issued its quarterly earnings results on Thursday, November 6th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.10) by ($0.12). The company had revenue of $1.72 billion during the quarter, compared to the consensus estimate of $1.73 billion. PENN Entertainment had a negative net margin of 13.24% and a negative return on equity of 4.59%. The company’s quarterly revenue was up 4.8% on a year-over-year basis. During the same quarter last year, the firm posted ($0.24) earnings per share. On average, equities analysts forecast that PENN Entertainment, Inc. will post -1.61 EPS for the current year.

Insider Activity

In other news, Director David A. Handler bought 20,000 shares of the company’s stock in a transaction dated Monday, November 17th. The stock was bought at an average cost of $14.25 per share, for a total transaction of $285,000.00. Following the transaction, the director owned 362,941 shares of the company’s stock, valued at $5,171,909.25. This represents a 5.83% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Jay A. Snowden acquired 34,700 shares of the firm’s stock in a transaction that occurred on Friday, November 7th. The stock was purchased at an average cost of $14.32 per share, for a total transaction of $496,904.00. Following the completion of the purchase, the chief executive officer directly owned 1,117,325 shares of the company’s stock, valued at $16,000,094. The trade was a 3.21% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders bought 62,015 shares of company stock valued at $882,778 in the last 90 days. 2.67% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On PENN Entertainment

A number of institutional investors have recently made changes to their positions in PENN. Hill Path Capital LP purchased a new position in PENN Entertainment in the second quarter valued at about $62,595,000. Arrowstreet Capital Limited Partnership bought a new position in PENN Entertainment during the 2nd quarter worth approximately $40,214,000. Connor Clark & Lunn Investment Management Ltd. raised its position in PENN Entertainment by 711.8% during the 2nd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 119,490 shares of the company’s stock valued at $2,135,000 after purchasing an additional 104,770 shares during the last quarter. Peregrine Capital Management LLC lifted its holdings in PENN Entertainment by 13.6% in the second quarter. Peregrine Capital Management LLC now owns 315,633 shares of the company’s stock worth $5,640,000 after buying an additional 37,888 shares during the period. Finally, Hudson Bay Capital Management LP lifted its position in PENN Entertainment by 18.0% during the 2nd quarter. Hudson Bay Capital Management LP now owns 2,029,843 shares of the company’s stock valued at $36,273,000 after acquiring an additional 308,998 shares during the period. Institutional investors own 91.69% of the company’s stock.

PENN Entertainment Company Profile

PENN Entertainment, Inc (NASDAQ: PENN) is a leading operator of gaming and racing facilities in the United States. The company’s business activities encompass land-based casinos, pari-mutuel racetracks, off-track wagering, and ancillary amenities such as hotels, restaurants and entertainment venues. In August 2022, the company rebranded from Penn National Gaming to PENN Entertainment to reflect its expanding footprint across digital and traditional segments of the gaming industry.

The company’s portfolio includes well-known properties under the Hollywood Casino and Ameristar Casino brands, located across multiple states including Pennsylvania, Ohio, Missouri and West Virginia.