In a report released yesterday, Jason Tilchen from Canaccord Genuity maintained a Buy rating on Penn National Gaming (PENN – Research Report), with a price target of $28.00.
Jason Tilchen has given his Buy rating due to a combination of factors that highlight Penn National Gaming’s potential for growth and profitability. The company reported strong fourth-quarter results, with its diverse geographic presence in land-based casinos and an improving digital platform helping to counteract increased competition in certain markets. Additionally, Penn National Gaming’s digital revenue guidance exceeded expectations, and the company anticipates narrowing its Interactive loss, with profitability expected by the end of 2026.
Furthermore, the company’s growth projects, such as the new Hollywood Casino Joliet and other developments, are on track to enhance its regional casino business. The digital segment has shown significant growth, with a substantial increase in interactive revenue and improvements in customer engagement through product enhancements. These factors, combined with a stable retail outlook and strategic initiatives, present an attractive risk/reward opportunity for investors, supporting Tilchen’s Buy rating.
Tilchen covers the Consumer Cyclical sector, focusing on stocks such as Super Group (SGHC), Penn National Gaming, and DraftKings. According to TipRanks, Tilchen has an average return of 10.7% and a 65.00% success rate on recommended stocks.
In another report released today, Barclays also maintained a Buy rating on the stock with a $23.00 price target.
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