Penn National Gaming owns and operates 26 gaming and pari-mutuel properties in the U.S. and Canada. The company was founded in 1972 and is based in Wyomissing, Pennsylvania.
PENN Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Penn National Gaming Inc. To summarize, we found that Penn National Gaming Inc ranked in the 39th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for PENN, they are:
49% of the company's capital comes from equity, which is greater than merely 22.41% of stocks in our cash flow based forecasting set.
Penn National Gaming Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -0.77. This coverage rate is greater than that of merely 21.68% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, Penn National Gaming Inc experienced a tax rate of about 31% over the past twelve months; relative to its sector (Consumer Cyclical), this tax rate is higher than 83.37% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Cyclical that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as PENN, try RELX, ULTA, ELY, GHG, and ICON.
Penn National Gaming ([[PENN]] +1.2%) is holding up just fine after Deutsch Bank analyst Carlo Santarelli warned on the lacking fundamental and valuation support for the stock in a new note posted earlier today. "We think PENN has largely benefited from the retail community turning the ticker into an internet...
Penn National Gaming (PENN) is up a solid 4.98% after Rosenblatt Securities follows up on a JPMorgan note with a positive take on the casino operator as well. Naturally, Barstool featured prominently in the thesis. "Our test of the Barstool app, a successful launch in PA with minimal external marketing...
Barstool Sports founder Dave Portnoy said on a recent podcast that his company could have been purchased by someone other than Penn National Gaming. What Happened: Portnoy revealed on the "Pomp" podcast with Anthony Pompliano last week that Barstool promoted itself to other betting companies before Penn National Gaming (NASDAQ: PENN ). This list includes FanDuel, owned by Flutter Entertainment (OTC: PDYPY ); DraftKings Inc (NASDAQ: DKNG ); and Points Bet, he said. “FanDuel specifically could have gotten us for far cheaper than Penn did,” Portnoy said. “I think [other operator] were too scared of controversy and me.” Portnoy said he was surprised FanDuel would not sign a deal. "These guys we were doing business with — who I liked — they’re not going to make an offer?" he said. "You f----...