Penn Entertainment price target raised to $21 from $20 at Morgan Stanley

Morgan Stanley raised the firm’s price target on Penn Entertainment (PENN) to $21 from $20 and keeps an Equal Weight rating on the shares. The firm tweaked its estimates to reflect better domestic data but weaker Macau, the analyst tells investors in a casino gaming group preview. While domestic trends in aggregate have sequentially improved quarter-over-quarter and consolidation could provide a floor near-term to valuations, growth is still tepid in the group and the firm’s work on potential consolidation points to limited accretion/dilution given depressed valuations, so it would focus on names poised to beat and/or with catalysts on the upcoming quarter, including Top Pick Draftkings (DKNG), the analyst added.