Track market-moving stories before they get noisy

Vornado scored a 38,000-square-foot expansion at PENN 1 by payroll and HR management platform Gusto, which brought the redesigned tower to over 90% leased. The asking rent was $135 per square foot, sources said.

But while Gusto’s move is relatively modest, it’s revealing to hear Vornado chairman Steve Roth’s comments in the company’s second-quarter earnings call.

PENN1 is more than 90% leased after payroll and HR management platform Gusto signed a lease for 38,000 square feet. Matthew McDermott Vornado leased 978,000 square feet of Manhattan offices in the year’s first half, Roth said — most with an average starting rent of $105 per square foot.

He declared a “victory lap” for both PENN 1 and sister property PENN 2 across from Madison Square Garden. 

At  PENN 1, “broadly speaking, we invested $200 per square foot to achieve a $50 a foot uptick in rents, which when all gets said and done, is a 25% return,” Roth said.

Vornado spent $450 million to turn the once obsolescent building into a sparkling, 2.5 million square-foot trophy with a dramatic new glass curtain wall.

PENN's 48.6% six-month rally reflects stronger retail execution, new-property momentum and a sharp improvement in Interactive profitability.

WYOMISSING, Pa. & JEFFERSON PARISH, La.--(BUSINESS WIRE)--PENN Entertainment, Inc. (Nasdaq: PENN) (“PENN” or the “Company”) today announced plans to invest approximately $195 million to relocate its Boomtown Casino & Hotel New Orleans riverboat casino operations to a new landside property on adjacent land and rebrand the property as Hollywood Casino New Orleans, pending regulatory approval. If approved, Hollywood Casino New Orleans is expected to open in 2029 and will include roughly 140,00.

Posted by Defense World Staff on Aug 13th, 2026

Assenagon Asset Management S.A. raised its position in PENN Entertainment, Inc. (NASDAQ:PENN – Free Report) by 47.6% during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 180,310 shares of the company’s stock after purchasing an additional 58,174 shares during the period. Assenagon Asset Management S.A. owned 0.13% of PENN Entertainment worth $3,851,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors have also modified their holdings of PENN. GAMMA Investing LLC boosted its stake in PENN Entertainment by 19.4% in the second quarter. GAMMA Investing LLC now owns 5,506 shares of the company’s stock valued at $118,000 after acquiring an additional 895 shares in the last quarter. Glenmede Trust Co. NA acquired a new stake in shares of PENN Entertainment during the first quarter worth about $176,000. Bank of America Corp DE increased its position in shares of PENN Entertainment by 57.9% during the first quarter. Bank of America Corp DE now owns 4,351,310 shares of the company’s stock worth $65,400,000 after purchasing an additional 1,595,502 shares in the last quarter. Seven Six Capital Management LLC lifted its holdings in shares of PENN Entertainment by 61.1% in the 1st quarter. Seven Six Capital Management LLC now owns 258,700 shares of the company’s stock valued at $3,888,000 after purchasing an additional 98,100 shares during the last quarter. Finally, California State Teachers Retirement System lifted its holdings in shares of PENN Entertainment by 28.3% in the 1st quarter. California State Teachers Retirement System now owns 166,074 shares of the company’s stock valued at $2,496,000 after purchasing an additional 36,637 shares during the last quarter. 91.69% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes Several analysts recently commented on PENN shares. Susquehanna upped their price target on shares of PENN Entertainment from $24.00 to $28.00 and gave the company a “positive” rating in a research report on Wednesday, July 1st. Truist Financial lifted their price objective on shares of PENN Entertainment from $20.00 to $25.00 and gave the company a “buy” rating in a research note on Friday, June 26th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of PENN Entertainment in a report on Wednesday, June 24th. Morgan Stanley reiterated an “underperform” rating on shares of PENN Entertainment in a research note on Wednesday. Finally, Wells Fargo & Company lowered their price target on PENN Entertainment from $24.00 to $23.00 and set an “equal weight” rating on the stock in a report on Tuesday, July 14th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $23.53.

Read Our Latest Research Report on PENN

PENN Entertainment Stock Up 0.2% Shares of NASDAQ PENN opened at $19.17 on Thursday. The stock has a market capitalization of $2.57 billion, a price-to-earnings ratio of -3.01, a price-to-earnings-growth ratio of 0.53 and a beta of 1.43. PENN Entertainment, Inc. has a 52 week low of $11.65 and a 52 week high of $22.36. The firm has a 50-day moving average price of $20.72 and a 200 day moving average price of $17.10. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 3.79.

PENN Entertainment (NASDAQ:PENN – Get Free Report) last issued its earnings results on Thursday, August 6th. The company reported $0.44 earnings per share for the quarter, topping the consensus estimate of $0.37 by $0.07. PENN Entertainment had a negative net margin of 12.66% and a positive return on equity of 2.93%. The company had revenue of $1.86 billion for the quarter, compared to analyst estimates of $1.86 billion. During the same period in the prior year, the business posted ($0.12) earnings per share. The firm’s revenue for the quarter was up 5.2% compared to the same quarter last year. Equities research analysts anticipate that PENN Entertainment, Inc. will post 1.11 EPS for the current fiscal year.

PENN Entertainment Profile (Free Report)

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.

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Posted by Defense World Staff on Aug 8th, 2026

Dimensional Fund Advisors LP reduced its position in shares of PENN Entertainment, Inc. (NASDAQ:PENN – Free Report) by 6.8% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,065,355 shares of the company’s stock after selling 77,326 shares during the period. Dimensional Fund Advisors LP owned 0.80% of PENN Entertainment worth $16,004,000 at the end of the most recent quarter.

Other large investors have also recently added to or reduced their stakes in the company. Quarry LP purchased a new position in shares of PENN Entertainment during the 4th quarter worth about $36,000. IFP Advisors Inc lifted its holdings in shares of PENN Entertainment by 76.2% during the 4th quarter. IFP Advisors Inc now owns 2,766 shares of the company’s stock valued at $41,000 after acquiring an additional 1,196 shares in the last quarter. Modus Advisors LLC acquired a new position in shares of PENN Entertainment during the 4th quarter valued at $47,000. Triumph Capital Management purchased a new stake in PENN Entertainment during the 3rd quarter worth $54,000. Finally, Hantz Financial Services Inc. boosted its position in PENN Entertainment by 385.1% during the 4th quarter. Hantz Financial Services Inc. now owns 3,721 shares of the company’s stock worth $55,000 after purchasing an additional 2,954 shares during the period. 91.69% of the stock is currently owned by hedge funds and other institutional investors.

PENN Entertainment Stock Up 0.2% Shares of PENN stock opened at $20.18 on Friday. PENN Entertainment, Inc. has a 1 year low of $11.65 and a 1 year high of $22.36. The company has a debt-to-equity ratio of 3.94, a quick ratio of 0.82 and a current ratio of 0.82. The business’s fifty day moving average is $20.78 and its 200-day moving average is $16.97. The stock has a market cap of $2.70 billion, a PE ratio of -3.17, a price-to-earnings-growth ratio of 0.38 and a beta of 1.43.

PENN Entertainment (NASDAQ:PENN – Get Free Report) last announced its earnings results on Thursday, August 6th. The company reported $0.44 earnings per share for the quarter, beating the consensus estimate of $0.37 by $0.07. PENN Entertainment had a positive return on equity of 2.93% and a negative net margin of 12.66%.The business had revenue of $1.86 billion during the quarter, compared to analysts’ expectations of $1.86 billion. During the same quarter last year, the business posted ($0.12) earnings per share. The company’s quarterly revenue was up 5.2% on a year-over-year basis. Equities analysts expect that PENN Entertainment, Inc. will post 1.39 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth PENN has been the topic of several recent research reports. Barclays boosted their price target on PENN Entertainment from $24.00 to $26.00 and gave the stock an “overweight” rating in a research report on Thursday, July 9th. Bank of America raised their price target on shares of PENN Entertainment from $18.00 to $22.00 and gave the company a “neutral” rating in a report on Monday, July 20th. Benchmark lifted their price target on shares of PENN Entertainment from $21.00 to $22.00 and gave the stock a “buy” rating in a research note on Friday. The Goldman Sachs Group started coverage on PENN Entertainment in a research note on Friday, June 26th. They issued a “buy” rating and a $26.00 price target on the stock. Finally, Mizuho set a $28.00 price target on shares of PENN Entertainment in a report on Friday. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $23.35.

Check Out Our Latest Stock Analysis on PENN

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

Positive Sentiment: Benchmark raises rating and price target: Benchmark Co. lifted its price target from $21 to $22 and upgraded PENN to “Buy,” implying further upside from recent trading levels. Benzinga analyst rating report Positive Sentiment: Quarterly earnings beat expectations: PENN reported second-quarter adjusted earnings of $0.44 per share, ahead of estimates ranging from $0.35 to $0.37 and well above the prior-year result. Revenue of $1.86 billion was in line with expectations but increased 5.2% year over year. PENN tops Q2 earnings and revenue estimates Positive Sentiment: Improved outlook: Management is targeting more than 20% growth in 2026 adjusted EBITDAR and raised its retail revenue guidance to $5.87 billion, signaling confidence in casino demand and operating performance. PENN raises 2026 guidance Positive Sentiment: Broad-based casino demand: Reports characterized the quarter as showing improved profits and resilient demand across PENN’s casino operations. The company was also included in Zacks’ Rank #1 “Strong Buy” growth-stock list. Improved profits amid casino demand Neutral Sentiment: Revenue was merely in line: Although earnings exceeded forecasts, quarterly sales matched consensus estimates, limiting the size of the positive surprise. PENN sales in line with estimates Negative Sentiment: Prediction-market competition is a risk: PENN expects an “arms race” in prediction markets this fall while maintaining its current strategy, potentially increasing marketing costs and competitive pressure. PENN prediction-market competition PENN Entertainment Company Profile (Free Report)

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.

Recommended Stories Five stocks we like better than PENN Entertainment Datadog’s Drop Says More About Expectations Than Earnings D-Wave’s Quantum Breakthrough Couldn’t Save QBTS From a Sell-Off Cloudflare’s Beat-and-Raise Quarter Puts Its AI Edge Story in Focus Solventum Nears Inflection Point As It Begins to Unlock Value Want to see what other hedge funds are holding PENN? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for PENN Entertainment, Inc. (NASDAQ:PENN – Free Report).

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WYOMISSING, Pa.--(BUSINESS WIRE)--PENN Entertainment, Inc. (“PENN” or the “Company”) (Nasdaq: PENN) today reported financial results for the three and six months ended June 30, 2026.

Jay Snowden, Chief Executive Officer and President, said: “We continued to execute against our 2026 strategic priorities this quarter: delivering Segment Adjusted EBITDAR growth, optimizing corporate overhead, growing cash flow, and deleveraging the balance sheet. PENN achieved record quarterly Retail segment revenues, supported by strong performance across our portfolio including our four recently completed development projects. Our Interactive segment remains on track to deliver upon our previously stated goals, supported by growth in U.S. iCasino and Canada. Adjusted EBITDA improved by $52.5 million year-over-year, reflecting disciplined execution of our strategy to drive profitability. The encouraging trends in our Retail and Interactive operating segments have continued through July.”

Second Quarter Retail Segment Highlights1:

Revenues of $1.5 billion; Segment Adjusted EBITDAR of $517.2 million; and Segment Adjusted EBITDAR margins of 34.4%. “PENN’s geographically diverse Retail segment delivered portfolio-wide strength, with nine properties setting second-quarter records for revenues and Adjusted EBITDAR,” said Mr. Snowden. “We experienced another quarter of year-over-year growth in theoretical revenue, supported by meaningful contributions from mid- and high-worth customer segments, as well as growth in unrated revenue, underscoring broad-based consumer demand. Second-quarter Segment Adjusted EBITDAR margins improved quarter-over-quarter and year-over-year, reflecting our property teams’ focus on converting solid demand into favorable operating results. In June 2026, we opened both the new hotel tower at Hollywood Columbus and the new Hollywood Casino Aurora, and early trends at both properties are encouraging, including strong visitation from VIP players.”

Second Quarter Interactive Segment Highlights:

Revenues of $349.4 million (including tax gross up of $185.5 million); and Adjusted EBITDA loss of $9.5 million. “Our Interactive segment delivered another quarter of meaningful year-over-year Adjusted EBITDA improvement. In the U.S., standalone Hollywood iCasino experienced quarter-over-quarter as well as year-over-year growth, achieving record quarterly revenues. In Ontario, gaming operations continued to gain momentum, supported by strong growth in online sports betting (“OSB”) revenues aided by solid World Cup engagement and cross-sell of the reactivated World Cup OSB user base into iCasino. We also successfully launched theScore Bet, as well as theScore Casino and Hollywood iCasino standalone apps, in Alberta on July 13,” concluded Mr. Snowden.

1 Retail Segment consists of retail operating segments which are composed of our Northeast, South, West, and Midwest reportable segments.

Liquidity and Financial Position

Total liquidity as of June 30, 2026 was $1.9 billion, including $887.2 million of Cash and cash equivalents. Traditional net debt as of June 30, 2026 was $1.9 billion.

On April 16, 2026, the Company amended its Second Amended and Restated Credit Agreement in order to refinance and extend the term of its $1.0 billion Amended Revolving Credit Facility and $446.9 million Amended Term Loan A Facility. The Amended Revolving Credit Facility and Amended Term Loan A Facility mature in April 2031.

On May 15, 2026, the Company repaid the remaining $106.7 million principal balance of its 2.75% Convertible Notes due 2026, eliminating approximately 4.6 million potentially dilutive shares associated with the notes.

On May 28, 2026, the Company amended its Second Amended and Restated Credit Agreement in order to reprice and extend the term of its $962.5 million Amended Term Loan B Facility. The Amended Term Loan B Facility matures in May 2033.

Summary of Second Quarter Results

For the three months
ended June 30,

(in millions, except per share data, unaudited)

2026

2025

Revenues

$

1,857.4

$

1,765.0

Net income (loss)

$

32.6

$

(18.3

)

Consolidated Adjusted EBITDA (1)

$

312.6

$

236.1

Rent expense associated with triple net operating leases (2)

$

163.3

$

156.0

Cash payments to our REIT Landlords under Triple Net Leases (3)

$

247.1

$

240.0

Diluted earnings (loss) per common share

$

0.24

$

(0.12

)

Adjusted EPS

The following table reconciles diluted earnings (loss) per share (“EPS”) to Adjusted EPS (approximate EPS impact shown, per share; positive adjustments represent charges to income):

For the three months
ended June 30,

2026

2025

Diluted earnings (loss) per share

$

0.24

$

(0.12

)

Impairment loss

—

0.10

Gain on disposal of assets

(0.03

)

—

Pre-opening expenses

0.17

0.03

Legal matters inclusive of litigation settlements

(0.02

)

0.06

Transaction costs and other

0.14

0.01

Non-operating items:

Loss on early extinguishment of debt

0.01

0.08

Gain related to debt and equity investments

—

(0.01

)

Other income

—

(0.02

)

Foreign currency transaction loss

—

0.01

Income tax impact on net income adjustments (1)

(0.07

)

(0.04

)

Adjusted EPS

$

0.44

$

0.10

PENN ENTERTAINMENT, INC. AND SUBSIDIARIES
Supplemental Information

The Company aggregates its operations into five reportable segments: Northeast, South, West, Midwest, and Interactive.

For the three months
ended June 30,

For the six months
ended June 30,

(in millions, unaudited)

2026

2025

2026

2025

Revenues:

Northeast segment (1)

$

731.6

$

711.6

$

1,418.7

$

1,392.5

South segment (2)

301.9

302.2

583.1

590.5

West segment (3)

151.5

137.7

297.2

267.4

Midwest segment (4)

320.6

297.0

626.5

579.9

Interactive (5)

349.4

316.1

707.7

606.2

Other (6)

5.6

5.7

10.9

11.0

Intersegment eliminations (7)

(3.2

)

(5.3

)

(7.7

)

(10.0

)

Total revenues

$

1,857.4

$

1,765.0

$

3,636.4

$

3,437.5

Segment Adjusted EBITDAR (8):

Northeast segment (1)

$

220.2

$

209.5

$

414.7

$

403.7

South segment (2)

109.0

104.8

213.2

208.1

West segment (3)

55.0

53.5

109.0

99.2

Midwest segment (4)

133.0

121.8

251.7

235.6

Interactive (5)

(9.5

)

(62.0

)

(20.4

)

(151.0

)

Other (6)

(31.8

)

(35.5

)

(63.2

)

(74.3

)

Rent expense associated with triple net operating leases

(163.3

)

(156.0

)

(326.6

)

(311.9

)

Consolidated Adjusted EBITDA (9)

$

312.6

$

236.1

$

578.4

$

409.4

(1)

The Northeast segment consists of the following properties: Ameristar East Chicago, Hollywood Casino at Greektown, Hollywood Casino Bangor, Hollywood Casino at Charles Town Races, Hollywood Casino Columbus, Hollywood Casino Lawrenceburg, Hollywood Casino Morgantown, Hollywood Casino at PENN National Race Course, Hollywood Casino Perryville, Hollywood Casino Toledo, Hollywood Casino York, Hollywood Gaming at Dayton Raceway, Hollywood Gaming at Mahoning Valley Race Course, Marquee by PENN, Hollywood Casino at The Meadows, and Plainridge Park Casino.

(2)

The South segment consists of the following properties: 1st Jackpot Casino, Ameristar Vicksburg, Boomtown Biloxi, Boomtown Bossier City, Boomtown New Orleans, Hollywood Casino Gulf Coast, Hollywood Casino Tunica, L’Auberge Baton Rouge, L’Auberge Lake Charles, and Margaritaville Resort Casino.

(3)

The West segment consists of the following properties: Ameristar Black Hawk, Cactus Petes and Horseshu, M Resort Spa Casino, and Zia Park Casino.

(4)

The Midwest segment consists of the following properties: Ameristar Council Bluffs, Argosy Casino Alton, Argosy Casino Riverside, Hollywood Casino Aurora, Hollywood Casino Joliet, our 50% investment in Kansas Entertainment, LLC, which owns Hollywood Casino at Kansas Speedway, Hollywood Casino St. Louis, Prairie State Gaming, and River City Casino.

(5)

The Interactive segment includes all of our online sports betting, online casino/iCasino and social gaming operations, management of retail sports betting, and media. Interactive revenues are inclusive of a tax gross-up of $185.5 million and $137.9 million for the three months ended June 30, 2026 and 2025, respectively, and $371.3 million and $266.1 million for the six months ended June 30, 2026 and 2025, respectively.

(6)

The Other category, included in the tables to reconcile the segment information to the consolidated information, consists of the Company’s stand-alone racing operations, namely Sanford-Orlando Kennel Club, Sam Houston and Valley Race Park, and our management contract for Retama Park Racetrack. The Other category also includes corporate overhead, which consists of certain expenses, such as payroll, professional fees, travel expenses, and other general and administrative expenses that do not directly relate to or have not otherwise been allocated. Corporate overhead was $29.5 million and $38.7 million for the three months ended June 30, 2026 and 2025, respectively, and $57.7 million and $74.7 million for the six months ended June 30, 2026 and 2025, respectively. Corporate overhead for the three and six months ended June 30, 2025 included $9.4 million and $17.1 million, respectively, of legal and advisory costs related to activist activity in connection with our 2025 annual meeting of shareholders.

(7)

Primarily represents the elimination of intersegment revenues associated with our retail sportsbooks, which are operated by PENN Interactive.

(8)

See definition of Segment Adjusted EBITDAR within the “Reportable Segment Measures” section below.

(9)

See definition of Consolidated Adjusted EBITDA within the “Non-GAAP Financial Measures” section below.

PENN ENTERTAINMENT, INC. AND SUBSIDIARIES
Reconciliation of Net Income (Loss) to Consolidated Adjusted EBITDA

For the three months
ended June 30,

For the six months
ended June 30,

(in millions, unaudited)

2026

2025

2026

2025

Net income (loss)

$

32.6

$

(18.3

)

$

29.8

$

93.2

Income tax expense

7.1

6.4

15.8

54.1

Interest expense, net

100.9

95.9

201.8

206.7

Interest income

(2.0

)

(2.1

)

(3.8

)

(5.3

)

Income from unconsolidated affiliates

(8.6

)

(13.3

)

(16.9

)

(20.9

)

Gain on financing arrangement

—

—

—

(215.1

)

Loss on early extinguishment of debt

1.8

11.8

1.8

11.8

Other (income) expenses

(0.1

)

(2.9

)

0.2

(4.2

)

Operating income

131.7

77.5

228.7

120.3

Stock-based compensation

17.4

16.1

31.5

31.7

Cash-settled stock-based awards variance (1)

(2.6

)

(3.1

)

(6.0

)

(6.3

)

Pre-opening expenses

23.0

4.4

27.2

4.9

Depreciation and amortization

117.8

110.5

234.8

218.5

Impairment loss (2)

—

15.0

—

15.0

Income from unconsolidated affiliates

8.6

13.3

16.9

20.9

Non-operating items of equity method investments (3)

1.1

1.1

2.3

2.2

Other expenses (4)

15.6

1.3

43.0

2.2

Consolidated Adjusted EBITDA

$

312.6

$

236.1

$

578.4

$

409.4

PENN ENTERTAINMENT, INC. AND SUBSIDIARIES
Consolidated Statements of Operations
(Unaudited)

For the three months
ended June 30,

For the six months
ended June 30,

(in millions, except per share data, unaudited)

2026

2025

2026

2025

Revenues

Gaming

$

1,396.6

$

1,367.7

$

2,730.9

$

2,666.0

Food, beverage, hotel, and other

460.8

397.3

905.5

771.5

Total revenues

1,857.4

1,765.0

3,636.4

3,437.5

Operating expenses

Gaming

833.2

869.7

1,641.1

1,723.5

Food, beverage, hotel, and other

333.7

282.0

663.1

546.9

General and administrative

441.0

410.3

868.7

813.3

Depreciation and amortization

117.8

110.5

234.8

218.5

Impairment loss

—

15.0

—

15.0

Total operating expenses

1,725.7

1,687.5

3,407.7

3,317.2

Operating income

131.7

77.5

228.7

120.3

Other income (expenses)

Interest expense, net

(100.9

)

(95.9

)

(201.8

)

(206.7

)

Interest income

2.0

2.1

3.8

5.3

Income from unconsolidated affiliates

8.6

13.3

16.9

20.9

Gain on financing arrangement

—

—

—

215.1

Loss on early extinguishment of debt

(1.8

)

(11.8

)

(1.8

)

(11.8

)

Other

0.1

2.9

(0.2

)

4.2

Total other income (expenses)

(92.0

)

(89.4

)

(183.1

)

27.0

Income (loss) before income taxes

39.7

(11.9

)

45.6

147.3

Income tax expense

(7.1

)

(6.4

)

(15.8

)

(54.1

)

Net income (loss)

32.6

(18.3

)

29.8

93.2

Net loss attributable to non-controlling interest

0.5

0.9

1.0

1.2

Net income (loss) attributable to PENN Entertainment, Inc.

$

33.1

$

(17.4

)

$

30.8

$

94.4

Earnings (loss) per share:

Basic earnings (loss) per share

$

0.25

$

(0.12

)

$

0.23

$

0.63

Diluted earnings (loss) per share

$

0.24

$

(0.12

)

$

0.23

$

0.59

Weighted-average common shares outstanding—basic

133.7

149.0

133.6

150.6

Weighted-average common shares outstanding—diluted

137.1

149.0

134.4

164.7

Selected Financial Information and GAAP to Non-GAAP Reconciliations

(in millions, unaudited)

June 30,
2026

December 31,
2025

Cash and cash equivalents

$

887.2

$

686.6

Total traditional debt

$

2,814.7

$

2,904.1

Cash and cash equivalents

(887.2

)

(686.6

)

Traditional net debt (1)

$

1,927.5

$

2,217.5

Amended Revolving Credit Facility due 2031

$

—

$

—

Amended Term Loan A Facility due 2031

446.9

—

Amended Term Loan B Facility due 2033

960.0

—

Amended Revolving Credit Facility due 2027

—

570.0

Amended Term Loan A Facility due 2027

—

453.8

Amended Term Loan B Facility due 2029

—

965.0

5.625% Notes due 2027

400.0

400.0

4.125% Notes due 2029

400.0

400.0

6.75% Notes due 2031

600.0

—

2.75% Convertible Notes due 2026

—

106.7

Other long-term obligations

7.8

8.6

Total traditional debt

2,814.7

2,904.1

Debt discounts and debt issuance costs

(40.1

)

(17.0

)

$

2,774.6

$

2,887.1

Total traditional debt

$

2,814.7

$

2,904.1

Cash and cash equivalents

(887.2

)

(686.6

)

Cash rent payments to REIT landlords (2)

7,860.8

7,742.4

$

9,788.3

$

9,959.9

Consolidated Adjusted EBITDA (3)

$

999.1

$

830.1

Rent expense associated with triple net operating leases (3)

$

646.5

$

631.7

Lease-adjusted net leverage ratio (1)

5.9x

6.8x

Traditional net leverage (1)

2.9x

4.5x

Cash Flow Data

The table below summarizes certain cash expenditures incurred by the Company.

For the three months
ended June 30,

For the six months
ended June 30,

(in millions, unaudited)

2026

2025

2026

2025

Cash payments to our REIT Landlords under Triple Net Leases

$

247.1

$

240.0

$

494.8

$

480.0

Cash payments (refunds) related to income taxes, net

$

1.9

$

25.7

$

(14.9

)

$

6.0

Cash paid for interest on traditional debt

$

16.7

$

21.1

$

60.5

$

57.8

Capital expenditures

$

97.5

$

159.4

$

192.0

$

284.6

Reportable Segment Measures

Segment Adjusted EBITDAR is our measure of profit or loss for our reportable segments and underlying operating segments. We define Segment Adjusted EBITDAR as earnings before interest expense, net, interest income, income taxes, depreciation and amortization, stock-based compensation, debt extinguishment charges, impairment losses, insurance recoveries, net of deductible charges, changes in the estimated fair value of our contingent purchase price obligations, gain or loss on disposal of assets, the difference between budget and actual expense for cash-settled stock-based awards, pre-opening expenses, loss on disposal of a business, non-cash gains/losses associated with REIT transactions, and other. Segment Adjusted EBITDAR excludes rent expense associated with triple net operating leases (which is a normal, recurring cash operating expense necessary to operate our business). Segment Adjusted EBITDAR is inclusive of income or loss from unconsolidated affiliates, with our share of non-operating items (such as interest expense, net, and depreciation and amortization) added back for our Kansas Entertainment, LLC joint venture. Segment Adjusted EBITDAR margin is Segment Adjusted EBITDAR divided by related segment revenues.

Non-GAAP Financial Measures

The Non-GAAP Financial Measures used in this press release include Consolidated Adjusted EBITDA, Adjusted EPS, Traditional net debt, Traditional net leverage ratio, and Lease-adjusted net leverage ratio. These non-GAAP financial measures should not be considered a substitute for, nor superior to, financial results and measures determined or calculated in accordance with GAAP.

We define Consolidated Adjusted EBITDA as earnings before interest expense, net, interest income, income taxes, depreciation and amortization, stock-based compensation, debt extinguishment charges, impairment losses, insurance recoveries, net of deductible charges, changes in the estimated fair value of our contingent purchase price obligations, gain or loss on disposal of assets, the difference between budget and actual expense for cash-settled stock-based awards, pre-opening expenses, loss on disposal of a business, non-cash gains/losses associated with REIT transactions, and other. Consolidated Adjusted EBITDA is inclusive of income or loss from unconsolidated affiliates, with our share of non-operating items (such as interest expense, net, and depreciation and amortization) added back for our Kansas Entertainment, LLC joint venture. Consolidated Adjusted EBITDA is inclusive of rent expense associated with our triple net operating leases with our REIT landlords. Although Consolidated Adjusted EBITDA includes rent expense associated with our triple net operating leases, we believe Consolidated Adjusted EBITDA is useful as a supplemental measure in evaluating the performance of our consolidated results of operations.

Consolidated Adjusted EBITDA has economic substance because it is used by management as a performance measure to analyze the performance of our business, and is especially relevant in evaluating large, long-lived casino-hotel projects because it provides a perspective on the current effects of operating decisions separated from the substantial non-operational depreciation charges and financing costs of such projects. We present Consolidated Adjusted EBITDA because it is used by some investors and creditors as an indicator of the strength and performance of ongoing business operations, including our ability to service debt, and to fund capital expenditures, acquisitions, and operations. These calculations are commonly used as a basis for investors, analysts and credit rating agencies to evaluate and compare operating performance and value companies within our industry. In order to view the operations of their casinos on a more stand-alone basis, gaming companies, including us, have historically excluded from their Consolidated Adjusted EBITDA calculations certain corporate expenses that do not relate to the management of specific casino properties. However, Consolidated Adjusted EBITDA is not a measure of performance or liquidity calculated in accordance with GAAP. Consolidated Adjusted EBITDA information is presented as a supplemental disclosure, as management believes that it is a commonly used measure of performance in the gaming industry and that it is considered by many to be a key indicator of the Company’s operating results.

Adjusted EPS is diluted earnings or loss per share adjusted to exclude gains/losses on the disposal of a business, non-cash gains/losses associated with REIT transactions, impairment losses, pre-opening expenses, debt extinguishment charges, gains/losses on the disposal of assets, foreign currency gains/losses, transaction related expenses, business interruption insurance proceeds, net gains/losses related to equity investments, and other.

Adjusted EPS is a non-GAAP measure and is presented solely as a supplemental disclosure to reported GAAP measures because management believes this measure is useful in providing period-to-period comparisons of the results of the Company’s operations to assist investors in reviewing the Company’s operating performance over time. Management believes it is useful to exclude certain items when comparing current performance to prior periods because these items can vary significantly depending on specific underlying transactions or events. Further, management believes certain excluded items may not relate specifically to current operating trends or be indicative of future results. Adjusted EPS should not be construed as an alternative to GAAP earnings per share as an indicator of the Company’s performance.

We calculate Traditional net debt as Total traditional debt, which is the principal amount of debt outstanding less Cash and cash equivalents. Management believes that Traditional net debt is an important measure to monitor leverage and evaluate the balance sheet. With respect to Traditional net debt, Cash and cash equivalents are subtracted from the GAAP measure because they could be used to reduce the Company’s debt obligations. A limitation associated with using Traditional net debt is that it subtracts Cash and cash equivalents and therefore may imply that there is less Company debt than the most comparable GAAP measure indicates. Management believes that investors may find it useful to monitor leverage and evaluate the balance sheet.

The Company’s Traditional net leverage ratio is defined as Traditional net debt (as defined above) divided by (i) Consolidated Adjusted EBITDA (as defined above) for the trailing twelve months plus (ii) rent expense associated with triple net operating leases for the trailing twelve months less (iii) cash rent payments to REIT landlords for the trailing twelve months. Management believes this measure is useful as a supplemental measure and provides an indication of the results generated by the Company in relation to its level of indebtedness with the cash generated from Company operations.

The Company’s Lease-adjusted net leverage ratio’s numerator is calculated as cash rent payments to REIT landlords for the trailing twelve months capitalized at 8 times plus Traditional net debt (as defined above). The Company’s Lease-adjusted net leverage ratio’s denominator is Consolidated Adjusted EBITDA (as defined above) for the trailing twelve months plus rent expense associated with triple net operating leases for the trailing twelve months. Management believes this measure is useful as a supplemental measure and provides an indication of the results generated by the Company in relation to its level of indebtedness (including leases) with the cash generated from Company operations.

Each of these non-GAAP financial measures is not calculated in the same manner by all companies and, accordingly, may not be an appropriate measure of comparing performance among different companies. See the tables above, which present reconciliations of these measures to the GAAP equivalent financial measures.

Management Presentation, Conference Call, Webcast and Replay Details

PENN is hosting a conference call and simultaneous webcast at 9:00 a.m. E.T. today, both of which are open to the general public. During the call, management will review a presentation regarding the quarter and recent developments that can be accessed at http://investors.pennentertainment.com/events-and-presentations/presentations.

The conference call number is 833-309-3473 (conference ID: PENN); please call five minutes in advance to ensure that you are connected prior to the presentation. Interested parties may also access the live call at www.pennentertainment.com; allow 15 minutes to register, download, and install any necessary software. Questions and answers will be reserved for call-in analysts and investors. A replay of the call can be accessed for thirty days at http://www.pennentertainment.com.

This press release, which includes financial information to be discussed by management during the conference call and disclosure and reconciliation of non-GAAP financial measures, is available on the Company’s web site, http://www.pennentertainment.com/corp/investors (select link for “Press Releases”).

About PENN Entertainment, Inc.

PENN Entertainment, Inc., together with its subsidiaries (“PENN,” or the “Company,” “we,” “our,” or “us”), operates in 28 jurisdictions throughout North America, with a broadly diversified portfolio of casinos, racetracks, and online sports betting and iCasino offerings. PENN’s focus is on organic cross-sell opportunities, reinforced by its market-leading retail casinos, sports media assets and technology, including a proprietary state-of-the-art, fully integrated digital sports betting and iCasino platform, and an in-house iCasino content studio. The Company’s portfolio is further bolstered by its industry-leading PENN Play™ customer loyalty program, offering its over 34 million members a unique set of rewards and experiences.

Forward Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the use of forward-looking terminology such as “expects,” “believes,” “estimates,” “projects,” “intends,” “plans,” “goal,” “seeks,” “may,” “will,” “should,” “look forward to,” or “anticipates” or the negative or other variations of these or similar words, or by discussions of future events, strategies or risks and uncertainties.

Specifically, forward-looking statements include, but are not limited to, statements regarding: the Company’s expectations of future results of operations and financial condition, including, but not limited to, projections of revenue, Segment Adjusted EBITDAR, Consolidated Adjusted EBITDA, and other financial measures; the assumptions provided regarding the guidance, including the anticipated benefits and timing of the Company’s development projects, other expected internal drivers and external tailwinds; the Company’s expectations regarding cash flow generation and near-term deleveraging; the Company’s expectations regarding results and customer growth and the impact of competition in retail/mobile/online sportsbooks (including prediction markets), iCasino, social gaming, and retail operations; the Company’s development and launch of its Interactive segment’s products in new jurisdictions and enhancements to existing Interactive segment products; the future success of theScore Bet, theScore Casino, Hollywood iCasino and its other digital offerings; the Company’s expectations with respect to share repurchases; the Company’s expectations that its portfolio of assets provides a benefit of geographically-diversified cash flows from operations; management’s plans and strategies for future operations, including statements relating to the Company’s plan to expand gaming operations through the implementation and execution of a disciplined capital expenditure program at our existing properties, the pursuit of strategic acquisitions and investments, and the development of new gaming properties, including the development projects and the anticipated benefits; improvements, expansions, or relocations of our existing properties; entrance into new jurisdictions; expansion of gaming in existing jurisdictions; strategic investments and acquisitions; cross-sell opportunities between our retail gaming, online sports betting , and iCasino businesses; our ability to obtain financing for our development projects on attractive terms; the timing, cost and expected impact of planned capital expenditures on the Company’s results of operations; and the actions of regulatory, legislative, executive, or judicial decisions at the federal, state, provincial, or local level with regard to our business and the impact of any such actions.

Such statements are all subject to risks, uncertainties and changes in circumstances that could significantly affect the Company’s future financial results and business. Accordingly, the Company cautions that the forward-looking statements contained herein are qualified by important factors that could cause actual results to differ materially from those reflected by such statements. Such factors include: the effects of economic and market conditions in the markets in which the Company operates or otherwise, including the impact of global supply chain disruptions, price inflation, changes in interest rates, economic downturns, changes in trade policies, and geopolitical and regulatory uncertainty; competition with other retail and online gaming and sports betting, entertainment and sports content experiences; the timing, cost and expected impact of product and technology investments; risks relating to operations, permits, licenses, financings, approvals and other contingencies in connection with growth in new or existing jurisdictions; our ability to successfully acquire and integrate new properties and operations and achieve expected synergies from acquisitions; the availability of future borrowings under our Amended Credit Facilities or other sources of capital to enable us to service our indebtedness, make anticipated capital expenditures or pay off or refinance our indebtedness prior to maturity; the impact of indemnification obligations under the Barstool SPA; our ability to realize the anticipated benefits of our realigned digital strategy; our ability to attract and retain user adoption of theScore Bet, theScore Casino, and Hollywood iCasino apps in a rapidly evolving and highly competitive market; the outcome of any legal proceedings that may be instituted against the Company, or its respective directors, officers or employees; the ability of the Company to retain and hire key personnel; the impact of new or changes in current laws, regulations, rules or other industry standards; adverse outcomes of litigation involving the Company; our ability to maintain our gaming licenses and concessions and comply with applicable gaming law, changes in current laws, regulations, rules or other industry standards, and additional factors described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, each as filed with the U.S. Securities and Exchange Commission. The Company does not intend to update publicly any forward-looking statements except as required by law. Considering these risks, uncertainties and assumptions, the forward-looking events discussed in this press release may not occur.

More News From PENN Entertainment, Inc.

For the quarter ended June 2026, PENN Entertainment (PENN - Free Report) reported revenue of $1.86 billion, up 5.2% over the same period last year. EPS came in at $0.44, compared to $0.10 in the year-ago quarter.

The reported revenue represents a surprise of +0.06% over the Zacks Consensus Estimate of $1.86 billion. With the consensus EPS estimate being $0.35, the EPS surprise was +25.71%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how PENN Entertainment performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Revenues- Northeast segment: $731.6 million versus $724.73 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +2.8% change.Revenues- South segment: $301.9 million versus $300.52 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -0.1% change.Revenues- Interactive segment: $349.4 million versus the three-analyst average estimate of $380.18 million. The reported number represents a year-over-year change of +10.5%.Revenues- Midwest segment: $320.6 million compared to the $315.77 million average estimate based on three analysts. The reported number represents a change of +8% year over year.Revenues- West segment: $151.5 million compared to the $147.66 million average estimate based on three analysts. The reported number represents a change of +10% year over year.View all Key Company Metrics for PENN Entertainment here>>>

Shares of PENN Entertainment have returned -2.5% over the past month versus the Zacks S&P 500 composite's +3.3% change. The stock currently has a Zacks Rank #1 (Strong Buy), indicating that it could outperform the broader market in the near term.

Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, August 6:

Sanmina Corporation (SANM - Free Report) : This global provider of electronics contract manufacturing services carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing nearly 6% over the last 60 days.

Sanmina has a PEG ratio of 0.64 compared with 1.01 for the industry. The company possesses a Growth Score of B.

Oscar Health, Inc. (OSCR - Free Report) : This healthcare technology company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 138.3% over the last 60 days.

Oscar Health has a PEG ratio of 0.89 compared with 0.95 for the industry. The company possesses a Growth Score of A.

PENN Entertainment, Inc. (PENN - Free Report) : This operator of casinos, online sports betting, gaming, and integrated entertainment platforms carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 10.8% over the last 60 days.

PENN has a PEG ratio of 0.40 compared with 0.75 for the industry. The company possesses a Growth Score of A.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Learn more about the Growth score and how it is calculated here.

Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, August 4:

Sanmina Corporation (SANM - Free Report) : This global provider of electronics contract manufacturing services carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing nearly 6% over the last 60 days.

Sanmina has a PEG ratio of 0.57 compared with 0.91 for the industry. The company possesses a Growth Score of A.

NVIDIA Corporation (NVDA - Free Report) : This provider of graphics, and compute and networking solutions carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4.1% over the last 60 days.

NVIDIA has a PEG ratio of 0.38 compared with 0.70 for the industry. The company possesses a Growth Score of B.

PENN Entertainment, Inc. (PENN - Free Report) : This operator of casinos, online sports betting, gaming, and integrated entertainment platforms carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 10.8% over the last 60 days.

PENN has a PEG ratio of 0.41 compared with 0.72 for the industry. The company possesses a Growth Score of A.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Learn more about the Growth score and how it is calculated here.

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The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.

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What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.

Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

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Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: PENN Entertainment (PENN - Free Report) PENN Entertainment, Inc. was incorporated in Pennsylvania in 1982 as PNRC Corp. The company adopted its current name in 1994 when it became publicly traded. PENN Entertainment is a multi-jurisdictional owner and operator of gaming and racing facilities with video gaming terminal operations and a focus on slot machine entertainment. The company’s portfolio is geographically diverse and includes a broad set of regional properties.

PENN is a #1 (Strong Buy) on the Zacks Rank, with a VGM Score of A.

Additionally, the company could be a top pick for growth investors. PENN has a Growth Style Score of A, forecasting year-over-year earnings growth of 122.8% for the current fiscal year.

For fiscal 2026, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.13 to $1.33 per share. PENN boasts an average earnings surprise of +120.1%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, PENN should be on investors' short list.

Investors looking for stocks in the Gaming sector might want to consider either PENN Entertainment (PENN - Free Report) or Flutter Entertainment (FLUT - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.

We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

Currently, PENN Entertainment has a Zacks Rank of #1 (Strong Buy), while Flutter Entertainment has a Zacks Rank of #5 (Strong Sell). This means that PENN's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.

Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.

The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.

PENN currently has a forward P/E ratio of 15.97, while FLUT has a forward P/E of 18.35. We also note that PENN has a PEG ratio of 0.42. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. FLUT currently has a PEG ratio of 1.19.

Another notable valuation metric for PENN is its P/B ratio of 1.56. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, FLUT has a P/B of 2.02.

These are just a few of the metrics contributing to PENN's Value grade of A and FLUT's Value grade of C.

PENN is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that PENN is likely the superior value option right now.

Wall Street expects a year-over-year increase in earnings on higher revenues when PENN Entertainment (PENN - Free Report) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on August 6, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis casino operator is expected to post quarterly earnings of $0.35 per share in its upcoming report, which represents a year-over-year change of +250%.

Revenues are expected to be $1.86 billion, up 5.2% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 1.15% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for PENN Entertainment?For PENN Entertainment, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -7.51%.

On the other hand, the stock currently carries a Zacks Rank of #1.

So, this combination makes it difficult to conclusively predict that PENN Entertainment will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that PENN Entertainment would post earnings of $0.05 per share when it actually produced earnings of $0.11, delivering a surprise of +120.00%.

Over the last four quarters, the company has beaten consensus EPS estimates three times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

PENN Entertainment doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsAmong the stocks in the Zacks Gaming industry, Flutter Entertainment (FLUT - Free Report) , is soon expected to post earnings of $0.58 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of -80.3%. This quarter's revenue is expected to be $4.22 billion, up 0.7% from the year-ago quarter.

The consensus EPS estimate for Flutter has been revised 15.6% higher over the last 30 days to the current level. However, a lower Most Accurate Estimate has resulted in an Earnings ESP of -9.71%.

When combined with a Zacks Rank of #5 (Strong Sell), this Earnings ESP makes it difficult to conclusively predict that Flutter will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Key Takeaways PENN, CSV, GM and AMN passed screens covering cash flow, earnings, book value, sales and PEG.PENN and CSV sales are each projected to grow 6.1%, with EPS up 122.8% and 8.4%, respectively.GM and AMN pair EPS growth of 24.8% and 98.5% with one-year share gains of 73.3% and 86.4%. Value investing is regarded as one of the most effective strategies during periods of market uncertainty, as it focuses on fundamentally sound companies trading below their intrinsic value. The approach has become increasingly relevant in the second half of 2026 amid geopolitical tensions, elevated valuations in some pockets of the market and shifting investor sentiment.

With the Federal Reserve's policy decision and earnings from major technology companies approaching, investors are placing greater emphasis on profitability, valuation discipline and earnings resilience rather than growth expectations alone. Such an environment often favors value stocks, which have the potential to outperform as the market eventually recognizes their underlying worth, making them well suited for long-term investors.

The current backdrop further strengthens the investment case for value stocks, which often provide a margin of safety by trading at attractive valuations relative to their fundamentals. One of the most effective metrics for identifying such opportunities is the Price-to-Cash-Flow (P/CF) ratio. A lower P/CF ratio generally indicates a more attractively valued stock. Companies such as PENN Entertainment, Inc. (PENN - Free Report) , Carriage Services, Inc. (CSV - Free Report) , General Motors Company (GM - Free Report) and AMN Healthcare Services, Inc. (AMN - Free Report) currently stand out based on this measure.

Price-to-Cash-Flow metric evaluates the market price of a stock relative to the amount of cash flow that the company is generating on a per-share basis — the lower the number, the better. One of the important factors that makes P/CF a highly dependable metric is that operating cash flow adds back non-cash charges such as depreciation and amortization to net income, truly diagnosing a company's financial health.

Analysts caution that a company’s earnings are subject to accounting estimates and management manipulation. However, cash flow is reliable. Net cash flow unveils how much money a company is actually generating and how effectively management is deploying the same.

Positive cash flow indicates an increase in a company’s liquid assets. It gives the company the means to settle debt, meet its expenses, reinvest in its business, endure downturns and finally pay back its shareholders. Negative cash flow implies a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.

What’s the Best Value Investing Strategy?An investment decision based solely on the P/CF metric may not yield the desired results. To identify stocks that are trading at a discount, you should expand your search criteria and also consider the price-to-book ratio, price-to-earnings ratio, and price-to-sales ratio. Adding a favorable Zacks Rank and a Value Score of A or B to your search criteria should lead to even better results as these eliminate the chance of falling into a value trap.

Here are the parameters for selecting true-value stocks:

P/CF less than or equal to X-Industry Median.

Price greater than or equal to 5: The stocks must all be trading at a minimum of $5 or higher.

Average 20-Day Volume greater than 100,000: A substantial trading volume ensures that the stock is easily tradable.

P/E using (F1) less than or equal to X-Industry Median: This parameter shortlists stocks that are trading at a discount or are equal to their peers.

P/B less than or equal to X-Industry Median: A lower P/B compared with the industry average implies that there is enough room for the stock to gain.

P/S less than or equal to X-Industry Median: The P/S ratio determines how a stock price compares to the company’s sales — the lower the ratio, the more attractive the stock is.

PEG less than 1: The ratio is used to determine a stock's value by taking the company's earnings growth into account. The PEG ratio gives a more complete picture than the P/E ratio. A value of less than 1 indicates that the stock is undervalued and that investors need to pay less for a stock that has robust earnings growth prospects.

Zacks Rank less than or equal to 2: Zacks Rank #1 (Strong Buy) or 2 (Buy) stocks are known to outperform irrespective of the market environment.

Value Score of less than or equal to B: Our research shows that stocks with a Style Score of A or B, when combined with Zacks Rank #1 or 2, offer the best upside potential.

Here are four of the 13 value stocks that qualified the screening:

PENN Entertainment, which operates a diversified portfolio of casinos, racetracks, and online sports betting and iCasino offerings, sports a Zacks Rank #1. The company has a trailing four-quarter earnings surprise of 120.1%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for PENN Entertainment’s current financial-year sales and EPS implies growth of 6.1% and 122.8%, respectively, from the year-ago period. PENN has a Value Score of A. Shares of PENN have risen 13.8% over the past year.

Carriage Services, a leading provider of funeral and cemetery services and merchandise, carries a Zacks Rank #2. The company has a trailing four-quarter earnings surprise of 0.5%, on average.

The Zacks Consensus Estimate for Carriage Services’ current financial-year sales and EPS indicates growth of 6.1% and 8.4%, respectively, from the year-ago period. CSV has a Value Score of A. Shares of CSV have fallen 8.8% over the past year.

General Motors, which designs, builds and sells trucks, crossovers, cars and automobile parts worldwide, carries a Zacks Rank #2. The company has a trailing four-quarter earnings surprise of 22.3%, on average.

The Zacks Consensus Estimate for General Motors’ current financial-year sales and EPS indicates growth of 0.4% and 25.2%, respectively, from the year-ago period. GM has a Value Score of A. Shares of GM have soared 73.3% over the past year.

AMN Healthcare Services, the leader and innovator in total talent solutions for healthcare, carries a Zacks Rank #2. The company has a trailing four-quarter earnings surprise of 53.3%, on average.

The Zacks Consensus Estimate for AMN Healthcare Services’ current financial-year sales and EPS indicates growth of 19.1% and 98.5%, respectively, from the year-ago period. AMN has a Value Score of A. Shares of AMN have surged 86.4% over the past year.

The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has PENN Entertainment (PENN - Free Report) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Discretionary sector should help us answer this question.

PENN Entertainment is a member of the Consumer Discretionary sector. This group includes 259 individual stocks and currently holds a Zacks Sector Rank of #6. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. PENN Entertainment is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for PENN's full-year earnings has moved 4.3% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, PENN has gained about 44.2% so far this year. Meanwhile, stocks in the Consumer Discretionary group have lost about 7.2% on average. This shows that PENN Entertainment is outperforming its peers so far this year.

One other Consumer Discretionary stock that has outperformed the sector so far this year is American Outdoor Brands, Inc. (AOUT - Free Report) . The stock is up 82.9% year-to-date.

For American Outdoor Brands, Inc., the consensus EPS estimate for the current year has increased 46.9% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, PENN Entertainment is a member of the Gaming industry, which includes 41 individual companies and currently sits at #180 in the Zacks Industry Rank. On average, this group has lost an average of 14.5% so far this year, meaning that PENN is performing better in terms of year-to-date returns.

In contrast, American Outdoor Brands, Inc. falls under the Leisure and Recreation Products industry. Currently, this industry has 24 stocks and is ranked #71. Since the beginning of the year, the industry has moved -0.9%.

Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to PENN Entertainment and American Outdoor Brands, Inc. as they could maintain their solid performance.

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.

Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.

Zacks Premium includes access to the Zacks Style Scores as well.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.

Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.

That's where the Style Scores come in.

To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.

The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.

Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: PENN Entertainment (PENN - Free Report) PENN Entertainment, Inc. was incorporated in Pennsylvania in 1982 as PNRC Corp. The company adopted its current name in 1994 when it became publicly traded. PENN Entertainment is a multi-jurisdictional owner and operator of gaming and racing facilities with video gaming terminal operations and a focus on slot machine entertainment. The company’s portfolio is geographically diverse and includes a broad set of regional properties.

PENN is a #1 (Strong Buy) on the Zacks Rank, with a VGM Score of A.

Additionally, the company could be a top pick for growth investors. PENN has a Growth Style Score of A, forecasting year-over-year earnings growth of 122.6% for the current fiscal year.

Two analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.02 to $1.32 per share. PENN boasts an average earnings surprise of +120.1%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, PENN should be on investors' short list.

PENN Entertainment stock is showing upward bias. What should traders watch with PENN? The LaunchPENN Entertainment is also launching standalone Hollywood Casino and theScore Casino apps in the province. Hollywood Casino delivers a casino-first experience with an extensive portfolio of slots, table games, and live dealer content, while theScore Casino offers a dedicated casino app alternative to the all-in-one theScore Bet Sportsbook & Casino experience.

“Alberta has an incredible sports culture, and we’re excited to bring theScore Bet Sportsbook & Casino to players across the province,” said Aaron LaBerge, Chief Technology Officer and Head of Interactive at PENN Entertainment. “Fans already know and trust theScore, and with theScore Bet, we’re extending that connection into a seamless sportsbook and casino experience.”

theScore Bet is the exclusive official gaming partner of the Toronto Blue Jays and Golf Canada, and an official gaming partner of the NHL and PGA Tour. To celebrate the launch, theScore Bet is introducing a series of fan experiences throughout the summer, including its Toronto Blue Jays Jersey Swap event.

PENN Shares Edge HigherPENN Price Action: At the time of publication, PENN shares are trading 0.69% higher at $20.50, according to data from Benzinga Pro.

This illustration was generated using artificial intelligence via Midjourney.

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A Look at PENN Entertainment Inc (PENN) After 3.9% Decline -- GF Value $23.35 vs Price $21.15

On July 06, 2026, PENN Entertainment Inc PENN shares fell 3.9% today to a current price of $21.15. Over the past week, the stock has decreased by 4.1%, while showing a significant increase of 10.0% over the last month. The shares have experienced a 52-week range with a high of $22.36 and a low of $11.65.

GF Value™ verdict: Current price of $21.15 is 9.4% below GF Value™ of $23.35.GF Score™ of 76/100 indicates an above-average stock based on GuruFocus’ evaluation criteria.Notable signal: The momentum rank of 10/10 suggests strong upward price movement. Is PENN Overvalued or Undervalued? PENN Entertainment Inc PENN is currently trading at $21.15, which is below its GF Value™ estimate of $23.35, indicating that the stock is 9.4% undervalued. This presents a margin of safety for potential investors, suggesting an opportunity to acquire shares at a price lower than their intrinsic value. According to the GF Valuation label, which categorizes stocks as undervalued, fairly valued, or overvalued, PENN falls into the undervalued category, highlighting its perceived investment potential. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

However, it is essential to consider that the inherent risks associated with investing in undervalued stocks can include market volatility and potential company-specific challenges that might hinder performance. Investors should conduct thorough research and consider these factors before making investment decisions.

How Does PENN's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 18.8x 21.2x PENN's current P/E ratio of 18.8x is below its 5-year median P/E of 21.2x, indicating that the stock is trading at a discount compared to its historical valuation. This analysis aligns with the GF Value™ verdict that suggests PENN is undervalued, reinforcing the potential investment opportunity.

What Does PENN's GF Score™ Tell Us? Metric Rating GF Score™ 76 Financial Strength 3/10 Profitability 6/10 Growth 6/10 Valuation 9/10 Momentum 10/10 PENN’s GF Score™ of 76/100 indicates that it is positioned above average in the market. The strongest area is its momentum rank of 10/10, demonstrating strong upward price movement. However, the financial strength score of 3/10 is a concern, suggesting weaknesses in the company's financial stability. The scores for profitability and growth are moderate at 6/10, which, combined with a high valuation rank of 9/10, indicates a favorable valuation perspective but highlights the need for improvement in financial health.

What Are Insiders Doing with PENN Stock? Recently, there have been no insider transactions in the last three months for PENN Entertainment Inc. The absence of insider buying or selling may suggest a level of stability among executives regarding the company's current valuation and performance outlook. This lack of activity can indicate that insiders are either confident in the stock's future potential or are awaiting further developments before making any moves.

What This Means for Investors Based on the current analysis, PENN Entertainment Inc PENN is considered undervalued according to GF Value™, providing a potential opportunity for investors. However, it is imperative to remain cautious and consider the company's financial strength and market dynamics before making investment decisions.

For the complete analysis, visit the PENN Entertainment Inc PENN stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is PENN's GF Score™?

PENN's GF Score™ is 76/100, indicating that the stock is above average based on key financial metrics.

Is PENN overvalued or undervalued?

PENN is currently undervalued with a GF Value™ of $23.35 compared to its trading price of $21.15.

What is PENN's P/E ratio?

PENN's current P/E ratio is 18.8x, which is below its 5-year median of 21.2x, suggesting it is trading at a discount compared to its historical valuation.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.

WYOMISSING, Pa.--(BUSINESS WIRE)--PENN Entertainment, Inc. (Nasdaq: PENN) announced today that it will release its 2026 second quarter financial results at 7:00 a.m. ET on Thursday, August 6, 2026, followed by a conference call and simultaneous webcast at 9:00 a.m. ET. Both the call and webcast are open to the general public. The conference call number is 833-309-3473 (conference ID: PENN); please call five minutes in advance to ensure that you are connected prior to the presentation. Intereste.

PENN Entertainment (PENN - Free Report) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, PENN crossed above the 20-day moving average, suggesting a short-term bullish trend.

The 20-day simple moving average is a popular investing tool. Traders like this SMA because it offers a look back at a stock's price over a shorter period and helps smooth out price fluctuations. The 20-day can also show more trend reversal signals than longer-term moving averages.

The 20-day moving average can show signals that are similar to other SMAs as well. If a stock's price is moving above the 20-day, the trend is considered positive. When the price falls below the moving average, it can signal a downward trend.

PENN could be on the verge of another rally after moving 8.5% higher over the last four weeks. Plus, the company is currently a Zacks Rank #3 (Hold) stock.

Looking at PENN's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 2 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.

Investors should think about putting PENN on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.

The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.

Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.

The Style Scores are broken down into four categories:

Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.

Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.

Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

#1 (Strong Buy) stocks have produced an unmatched +24% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.

Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: PENN Entertainment (PENN - Free Report) PENN Entertainment, Inc. was incorporated in Pennsylvania in 1982 as PNRC Corp. The company adopted its current name in 1994 when it became publicly traded. PENN Entertainment is a multi-jurisdictional owner and operator of gaming and racing facilities with video gaming terminal operations and a focus on slot machine entertainment. The company’s portfolio is geographically diverse and includes a broad set of regional properties.

PENN is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

Additionally, the company could be a top pick for growth investors. PENN has a Growth Style Score of A, forecasting year-over-year earnings growth of 122.6% for the current fiscal year.

For fiscal 2026, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.02 to $1.32 per share. PENN boasts an average earnings surprise of +120.1%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, PENN should be on investors' short list.

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UNITE HERE Urges PENN’s Board to Take Concrete Action to Implement Annual Director Elections

NEW YORK--(BUSINESS WIRE)--UNITE HERE announced today that PENN Entertainment, Inc. (NASDAQ: PENN) shareholders approved the advisory proposal to declassify the Company’s Board of Directors at PENN’s Annual Meeting of Shareholders held on June 16.

This marks the second time a majority of PENN shareholders have backed board declassification, following majority support for a similar proposal presented in 2010.

“PENN shareholders have spoken clearly: they want annual elections for all directors,” said Michael Hachey, Director of Gaming Industry Research at UNITE HERE. “The Board should now take the necessary steps toward implementing declassification.”

“Investors will be looking for real, timely responsiveness here; not performative action that kicks the can down the road, and certainly not silence from leadership,” said Derrick Wortes, founder and principal of Cora Strategies, a boutique advisory firm focused on shareholder activism, corporate governance, and investor engagement.

Annual director elections are widely recognized as a cornerstone of effective corporate governance, providing shareholders with a regular mechanism to evaluate board performance and hold directors accountable for their oversight. A classified board structure can insulate directors from shareholder feedback and diminish a board’s responsiveness to investor concerns.

“By adopting annual elections, PENN would strengthen alignment between directors and shareholders and bring its governance practices more closely in line with investor expectations,” said Hachey. “We look forward to seeing how the Board takes action.”

More News From UNITE HERE

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Posted by Defense World Staff on Apr 27th, 2026

Cwm LLC increased its stake in shares of PENN Entertainment, Inc. (NASDAQ:PENN – Free Report) by 1,055.9% in the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 92,056 shares of the company’s stock after buying an additional 84,092 shares during the quarter. Cwm LLC owned about 0.07% of PENN Entertainment worth $1,358,000 at the end of the most recent quarter.

A number of other hedge funds also recently added to or reduced their stakes in the stock. Hill Path Capital LP boosted its stake in PENN Entertainment by 64.4% during the 3rd quarter. Hill Path Capital LP now owns 5,759,820 shares of the company’s stock valued at $110,934,000 after purchasing an additional 2,257,000 shares during the period. Hennessy Advisors Inc. acquired a new stake in shares of PENN Entertainment in the third quarter valued at approximately $40,537,000. Arrowstreet Capital Limited Partnership raised its holdings in shares of PENN Entertainment by 74.7% during the third quarter. Arrowstreet Capital Limited Partnership now owns 3,930,293 shares of the company’s stock valued at $75,697,000 after buying an additional 1,679,953 shares during the last quarter. Amundi raised its holdings in shares of PENN Entertainment by 3,058.9% during the third quarter. Amundi now owns 781,949 shares of the company’s stock valued at $14,458,000 after buying an additional 757,195 shares during the last quarter. Finally, Armistice Capital LLC boosted its position in shares of PENN Entertainment by 48.8% during the third quarter. Armistice Capital LLC now owns 2,103,666 shares of the company’s stock worth $40,517,000 after buying an additional 690,078 shares during the period. 91.69% of the stock is currently owned by institutional investors.

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

Positive Sentiment: Mizuho raised its price target to $23 and maintained an “outperform” call, implying ~33% upside from current levels. Article Title TickerReport Positive Sentiment: JPMorgan bumped its target to $23 and moved to “overweight” — another institutional vote of confidence that can support upside momentum. Article Title Positive Sentiment: Stifel raised its target to $23 and kept a “buy” rating, joining other brokers in signaling meaningful upside. Article Title The Fly Positive Sentiment: PENN reported a Q1 beat (EPS $0.11 vs. $0.05 est.; revenue $1.78B vs. $1.74B), with Interactive losses narrowing sharply and retail trends aided by the M Resort tower opening — evidence of operational improvement. Press Release Yahoo Neutral Sentiment: Deutsche Bank nudged its target to $18 and kept a “hold” rating — a less bullish view that tempers the unanimous upgrade narrative. MarketScreener Neutral Sentiment: Management reiterated an improving Interactive outlook (2026 interactive adjusted EBITDA loss guided to ~$20M) and highlighted retail strength from Alberta and property openings — supports the recovery thesis but is conditional on execution. Seeking Alpha Negative Sentiment: Analyst caution and a bearish Seeking Alpha piece emphasize elevated leverage, a regional asset base they consider lower quality, and a valuation premium versus peers — risks that could cap the multiple until leverage meaningfully improves. Seeking Alpha Negative Sentiment: Financial metrics remain a concern: negative net margin and return on equity plus a high debt-to-equity ratio keep balance-sheet risk top of mind for investors despite operational gains (see company metrics). MarketBeat Analysts Set New Price Targets A number of brokerages recently issued reports on PENN. Mizuho increased their price objective on PENN Entertainment from $22.00 to $23.00 and gave the stock an “outperform” rating in a report on Friday. Weiss Ratings reiterated a “sell (d-)” rating on shares of PENN Entertainment in a research report on Friday, March 27th. JPMorgan Chase & Co. increased their price target on PENN Entertainment from $22.00 to $23.00 and gave the stock an “overweight” rating in a research note on Friday. Benchmark raised PENN Entertainment from a “hold” rating to a “buy” rating and set a $21.00 price target on the stock in a report on Thursday, March 5th. Finally, Barclays lifted their price objective on shares of PENN Entertainment from $23.00 to $24.00 and gave the company an “overweight” rating in a research note on Friday. Eight analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $20.21.

Get Our Latest Stock Analysis on PENN

PENN Entertainment Price Performance NASDAQ PENN opened at $17.24 on Monday. PENN Entertainment, Inc. has a 12 month low of $11.65 and a 12 month high of $20.60. The firm has a market capitalization of $2.30 billion, a PE ratio of -2.57, a P/E/G ratio of 0.58 and a beta of 1.32. The company’s 50 day simple moving average is $14.59 and its 200 day simple moving average is $14.69. The company has a debt-to-equity ratio of 3.92, a current ratio of 0.79 and a quick ratio of 0.79.

PENN Entertainment (NASDAQ:PENN – Get Free Report) last released its earnings results on Thursday, April 23rd. The company reported $0.11 earnings per share for the quarter, topping analysts’ consensus estimates of $0.05 by $0.06. The firm had revenue of $1.78 billion during the quarter, compared to the consensus estimate of $1.74 billion. PENN Entertainment had a positive return on equity of 0.42% and a negative net margin of 13.55%.The firm’s revenue for the quarter was up 6.4% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.68 earnings per share. As a group, equities research analysts forecast that PENN Entertainment, Inc. will post 0.98 EPS for the current fiscal year.

PENN Entertainment Company Profile (Free Report)

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.

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Earnings are arguably the most important single number on a company's quarterly financial report. Wall Street clearly dives into all of the other metrics and management's input, but the EPS figure helps cut through all the noise.

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The Zacks Earnings ESP, ExplainedThe Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate.

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Stocks with a ranking of #3 (Hold), or 60% of all stocks covered by the Zacks Rank, are expected to perform in-line with the broader market. Stocks with rankings of #2 (Buy) and #1 (Strong Buy), or the top 15% and top 5% of stocks, respectively, should outperform the market; Strong Buy stocks should outperform more than any other rank.

Should You Consider Under Armour?The final step today is to look at a stock that meets our ESP qualifications. Under Armour (UAA - Free Report) earns a #3 (Hold) one day from its next quarterly earnings release on May 12, 2026, and its Most Accurate Estimate comes in at -$0.02 a share.

By taking the percentage difference between the -$0.02 Most Accurate Estimate and the -$0.03 Zacks Consensus Estimate, Under Armour has an Earnings ESP of +25.00%. Investors should also know that UAA is one of a large group of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

UAA is just one of a large group of Consumer Discretionary stocks with a positive ESP figure. PENN Entertainment (PENN - Free Report) is another qualifying stock you may want to consider.

PENN Entertainment is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on August 6, 2026. PENN's Most Accurate Estimate sits at $0.33 a share 87 days from its next earnings release.

The Zacks Consensus Estimate for PENN Entertainment is $0.32, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +1.48%.

UAA and PENN's positive ESP figures tell us that both stocks have a good chance at beating analyst expectations in their next earnings report.

Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>

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Stock to Watch: PENN Entertainment (PENN - Free Report) PENN Entertainment, Inc. was incorporated in Pennsylvania in 1982 as PNRC Corp. The company adopted its current name in 1994 when it became publicly traded. PENN Entertainment is a multi-jurisdictional owner and operator of gaming and racing facilities with video gaming terminal operations and a focus on slot machine entertainment. The company’s portfolio is geographically diverse and includes a broad set of regional properties.

PENN is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 14.59; value investors should take notice.

Three analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.04 to $1.09 per share. PENN boasts an average earnings surprise of +120.1%.

With a solid Zacks Rank and top-tier Value and VGM Style Scores, PENN should be on investors' short list.

On May 21, 2026, PENN Entertainment Inc PENN shares rose 3.3% to a current price of $16.70. This recent move is part of a broader trend, with the stock showing a 52-week range of $11.65 to $20.61.

GF Value™ verdict: PENN is currently valued at $16.70, which is 27.5% below its GF Value™ estimate of $23.02.GF Score™ of 75/100 indicates an above-average rating, suggesting a strong potential for long-term returns.Insiders have purchased $0.1M in shares over the last three months, signaling confidence in the company’s future. Is PENN Overvalued or Undervalued? PENN Entertainment Inc is identified as modestly undervalued based on its current price of $16.70 compared to the GF Value™ estimate of $23.02. This presents a 27.5% margin of safety for potential investors. The GF Valuation label indicates that while the stock is undervalued, there are caveats to consider. Although the current price suggests a buying opportunity, factors such as financial strength and the predictability of future earnings should be assessed further. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

Investors should note that despite the undervaluation, the financial strength score of 3/10 suggests vulnerabilities that could affect the stock's performance in the short term. Therefore, while the undervaluation presents an opportunity, it is essential to consider these risks before making investment decisions.

How Does PENN's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 14.7x 21.2x Currently, PENN's forward P/E ratio is 14.7x, which is significantly below its 5-year median P/E of 21.2x. This indicates that the stock is trading at a lower valuation compared to its historical averages, reinforcing the GF Value™ conclusion of being undervalued. The P/E analysis agrees with the GF Value™ verdict, suggesting that there may be an opportunity for price appreciation moving forward.

What Does PENN's GF Score™ Tell Us? Metric Rating GF Score™ 75 Financial Strength 3/10 Profitability 6/10 Growth 6/10 Valuation 8/10 Momentum 7/10 PENN's overall GF Score™ of 75/100 indicates a solid potential for long-term returns, with the strongest performance noted in the Valuation category, rated 8/10. However, the Financial Strength score of 3/10 highlights a significant area of concern, suggesting that while the stock may be undervalued, its financial stability could pose risks. The Profitability and Growth scores at 6/10 are moderate, indicating a reasonable ability to generate profits and grow, but there is still room for improvement.

What Are Insiders Doing with PENN Stock? In the past three months, insiders of PENN Entertainment Inc have purchased approximately $0.1 million worth of shares, with no reported selling activity. This buying trend may suggest that insiders have confidence in the company's future performance and potential growth prospects. Such insider purchasing can often be interpreted as a positive signal, indicating that those with the most knowledge of the company expect favorable developments ahead.

What This Means for Investors Based on the current analysis, PENN Entertainment Inc is considered undervalued according to GF Value™, presenting a potential opportunity for value-oriented investors. However, it is crucial to keep in mind the company’s financial strength and associated risks.

For the complete analysis, visit the PENN Entertainment Inc PENN stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is PENN's GF Score™?

PENN's GF Score™ is 75/100, indicating an above-average potential for long-term returns based on key financial metrics.

Is PENN overvalued or undervalued?

PENN is currently considered undervalued, with a GF Value™ estimate of $23.02 compared to its current price of $16.70.

What is PENN's P/E ratio?

PENN's forward P/E ratio is 14.7x, which is below its 5-year median P/E of 21.2x, suggesting that the stock is trading at a lower valuation compared to its historical averages.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].