PENN Entertainment (NASDAQ:PENN) Releases Quarterly Earnings Results

by · The Cerbat Gem

PENN Entertainment (NASDAQ:PENN – Get Free Report) posted its earnings results on Thursday. The company reported $0.32 EPS for the quarter, topping the consensus estimate of $0.17 by $0.15, FiscalAI reports. The firm had revenue of $1.84 billion for the quarter, compared to analysts’ expectations of $1.84 billion. PENN Entertainment had a negative net margin of 12.66% and a positive return on equity of 2.93%. The company’s quarterly revenue was up 7.1% compared to the same quarter last year. During the same quarter last year, the firm earned ($0.22) EPS.

Here are the key takeaways from PENN Entertainment’s conference call:

  • PENN reported record third-quarter revenue, with retail revenue of $1.5 billion and Adjusted EBITDA of $502 million. Same-store revenue and EBITDA grew about 1% and 5%, respectively, margins improved, and the company raised its 2026 retail guidance.
  • Recent development projects are contributing to growth: M Resort, Hollywood Columbus and Aurora delivered strong results, with hotel guests extending PENN’s reach beyond local markets. Management said all four completed projects should continue to ramp, while Council Bluffs and New Orleans are in the pipeline.
  • Interactive Adjusted EBITDA was a loss of $18.3 million in Q3, including investment in Alberta, but margins improved and results excluding the launch investment improved sequentially. PENN expects Q4 interactive EBITDA of $18.7 million and says the business will be profitable for full-year 2027; U.S. sports betting and integrated iCasino trends remain softer.
  • PENN ended the quarter with $2 billion of liquidity and said it is continuing to reduce leverage. Management’s capital priorities remain deleveraging and investing in internal growth projects, with share repurchases under consideration for 2027 and M&A a lower priority.

PENN Entertainment Trading Up 0.5%

Shares of PENN stock traded up $0.09 during trading hours on Friday, reaching $17.43. The company’s stock had a trading volume of 4,343,204 shares, compared to its average volume of 2,922,435. The stock has a market capitalization of $2.34 billion, a P/E ratio of 42.55, a P/E/G ratio of 0.44 and a beta of 1.40. PENN Entertainment has a one year low of $11.65 and a one year high of $22.36. The firm’s fifty day simple moving average is $16.01 and its 200 day simple moving average is $16.86. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 3.79.

Key Headlines Impacting PENN Entertainment

Here are the key news stories impacting PENN Entertainment this week:

  • Positive Sentiment: PENN reported third-quarter adjusted earnings of $0.32 per share, above analysts’ estimates, while revenue of $1.84 billion was roughly in line and increased 7.1% year over year. The company swung to a profit from a loss in the year-ago quarter. PENN Entertainment reports third-quarter results
  • Positive Sentiment: Reports highlighted growth from U.S. iCasino and Canada, alongside improved revenue and adjusted EBITDA. The second tower at M Resort is also continuing to contribute to revenue. These trends support the case for continued digital and property-level growth. U.S. iCasino and Canada drive growth
  • Positive Sentiment: Wells Fargo raised its price target to $23 from $22, while keeping an “equal weight” rating. The higher target is supportive, though the unchanged rating signals a neutral analyst stance. Wells Fargo rating and price-target update
  • Neutral Sentiment: PENN is reportedly not prioritizing acquisitions, suggesting management is focusing on its existing business rather than pursuing deals. The impact depends on execution and the returns from organic growth. PENN is not prioritizing acquisitions
  • Neutral Sentiment: A renewed push for gambling in Texas may follow the midterm elections, but this remains a potential future opportunity rather than an immediate revenue driver. Texas gambling push after the midterm elections
  • Negative Sentiment: Gaming-sector sentiment was pressured by DraftKings’ sharp decline after its outlook disappointed investors, with coverage also reporting declines for PENN and other operators. Concerns about competition and spending on prediction markets could weigh on perceptions of the broader online betting industry. Gaming stocks fall amid DraftKings outlook concerns

Wall Street Analysts Forecast Growth

PENN has been the topic of a number of analyst reports. Piper Sandler upgraded PENN Entertainment from a “neutral” rating to a “buy” rating and set a $26.00 price objective on the stock in a research note on Tuesday, October 13th. Bank of America raised their target price on PENN Entertainment from $18.00 to $22.00 and gave the stock a “neutral” rating in a research note on Monday, July 20th. Citigroup reaffirmed a “market outperform” rating on shares of PENN Entertainment in a report on Tuesday, October 13th. Zacks Research upgraded PENN Entertainment from a “hold” rating to a “strong-buy” rating in a research report on Monday, October 12th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of PENN Entertainment in a report on Monday, September 21st. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, PENN Entertainment presently has an average rating of “Moderate Buy” and an average price target of $23.56.

View Our Latest Research Report on PENN Entertainment

PENN Entertainment Company Profile

(Get Free Report)

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.

Featured Articles