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

PENN Entertainment (NASDAQ:PENN) had its price target increased by analysts at Morgan Stanley from $19.00 to $20.00 in a note issued to investors on Wednesday,Benzinga reports. The firm currently has an “equal weight” rating on the stock. Morgan Stanley’s price target would indicate a potential upside of 4.47% from the company’s previous close.

Several other brokerages have also weighed in on PENN. Barclays raised their target price on PENN Entertainment from $24.00 to $26.00 and gave the stock an “overweight” rating in a research report on Thursday, July 9th. Jefferies Financial Group reaffirmed a “hold” rating and set a $22.00 price target on shares of PENN Entertainment in a research report on Friday, August 7th. Bank of America increased their price target on PENN Entertainment from $18.00 to $22.00 and gave the stock a “neutral” rating in a research note on Monday, July 20th. Wells Fargo & Company decreased their price objective on PENN Entertainment from $24.00 to $23.00 and set an “equal weight” rating for the company in a report on Tuesday, July 14th. Finally, Mizuho set a $28.00 price objective on shares of PENN Entertainment in a report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $23.53.

PENN Entertainment Stock Performance

PENN traded up $0.01 during midday trading on Wednesday, reaching $19.14. The company had a trading volume of 745,784 shares, compared to its average volume of 3,952,330. PENN Entertainment has a 12-month low of $11.65 and a 12-month high of $22.36. The business has a 50-day moving average price of $20.73 and a two-hundred day moving average price of $17.06. The stock has a market cap of $2.57 billion, a PE ratio of -3.01, a P/E/G ratio of 0.36 and a beta of 1.43. The company has a debt-to-equity ratio of 3.79, a quick ratio of 0.89 and a current ratio of 0.89.

PENN Entertainment (NASDAQ:PENN) last issued its quarterly earnings results on Thursday, August 6th. The company reported $0.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.37 by $0.07. The company had revenue of $1.86 billion during the quarter, compared to analyst estimates of $1.86 billion. PENN Entertainment had a negative net margin of 12.66% and a positive return on equity of 2.93%. PENN Entertainment’s quarterly revenue was up 5.2% compared to the same quarter last year. During the same quarter last year, the business posted ($0.12) EPS. On average, sell-side analysts expect that PENN Entertainment will post 1.36 earnings per share for the current fiscal year.

Hedge Funds Weigh In On PENN Entertainment

A number of large investors have recently made changes to their positions in PENN. Quarry LP bought a new stake in shares of PENN Entertainment during the 4th quarter valued at $36,000. IFP Advisors Inc boosted its stake in PENN Entertainment by 76.2% in the 4th quarter. IFP Advisors Inc now owns 2,766 shares of the company’s stock worth $41,000 after purchasing an additional 1,196 shares during the period. Triumph Capital Management purchased a new position in PENN Entertainment during the 3rd quarter valued at about $54,000. Modus Advisors LLC purchased a new position in PENN Entertainment during the 4th quarter valued at about $47,000. Finally, Hantz Financial Services Inc. increased its position in shares of PENN Entertainment by 385.1% during the fourth quarter. Hantz Financial Services Inc. now owns 3,721 shares of the company’s stock valued at $55,000 after buying an additional 2,954 shares during the period. 91.69% of the stock is owned by institutional investors.

About PENN Entertainment

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.