📊 PENN Key Takeaways
Is PENN Entertainment, Inc. (PENN) a Good Investment?
PENN Entertainment is facing severe financial distress with significant operating and net losses totaling $673.6M and $843.1M respectively, coupled with critical liquidity issues where current liabilities exceed current assets (0.79x current ratio). The company's inability to generate positive operating income while carrying substantial debt and negative interest coverage (-1.4x) creates existential solvency concerns.
Why Buy PENN Entertainment, Inc. Stock? PENN Key Strengths
- Revenue growth of 5.8% year-over-year demonstrates market demand in the hospitality/gaming segment
- Positive free cash flow generation of $300.4M indicates some liquidity management despite losses
- Maintains $686.6M in cash reserves providing short-term operational flexibility
PENN Stock Risks: PENN Entertainment, Inc. Investment Risks
- Current ratio of 0.79x indicates acute liquidity stress with current liabilities exceeding current assets, creating near-term solvency concerns
- Operational unprofitability with -$673.6M operating loss and -9.7% operating margin is unsustainable and indicates fundamental business model challenges
- High leverage with 1.58x debt-to-equity ratio and negative interest coverage (-1.4x) creates significant refinancing and debt service risks
Key Metrics to Watch
- Operating margin trajectory - path to profitability is critical
- Current ratio and working capital trends indicating liquidity sustainability
- Debt-to-EBITDA ratio and interest coverage recovery as operations must cover debt service
PENN Entertainment, Inc. (PENN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 4.3% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.
PENN Profit Margin, ROE & Profitability Analysis
PENN vs Real Estate Sector: How PENN Entertainment, Inc. Compares
How PENN Entertainment, Inc. compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is PENN Entertainment, Inc. Stock Overvalued? PENN Valuation Analysis 2026
Based on fundamental analysis, PENN Entertainment, Inc. shows some fundamental concerns relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
PENN Entertainment, Inc. Balance Sheet: PENN Debt, Cash & Liquidity
PENN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: PENN Entertainment, Inc.'s revenue has grown significantly by 21% over the 5-year period, indicating strong business expansion. The most recent EPS of $-3.22 indicates the company is currently unprofitable.
PENN Revenue Growth, EPS Growth & YoY Performance
PENN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.6B | -$36.7M | $-0.24 |
| Q2 2025 | $1.7B | -$17.4M | $-0.12 |
| Q1 2025 | $1.6B | $111.8M | $0.68 |
| Q3 2024 | $1.6B | -$36.7M | $-0.24 |
| Q2 2024 | $1.7B | -$26.8M | $-0.18 |
| Q1 2024 | $1.6B | -$114.7M | $-0.76 |
| Q3 2023 | $1.6B | $123.5M | $0.72 |
| Q2 2023 | $1.6B | $26.1M | $0.15 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
PENN Entertainment, Inc. Dividends, Buybacks & Capital Allocation
PENN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for PENN Entertainment, Inc. (CIK: 0000921738)
📋 Recent SEC Filings
❓ Frequently Asked Questions about PENN
What is the AI rating for PENN?
PENN Entertainment, Inc. (PENN) has an AI rating of STRONG SELL with 88% confidence, based on fundamental analysis of SEC EDGAR filings.
What are PENN's key strengths?
Claude: Revenue growth of 5.8% year-over-year demonstrates market demand in the hospitality/gaming segment. Positive free cash flow generation of $300.4M indicates some liquidity management despite losses.
What are the risks of investing in PENN?
Claude: Current ratio of 0.79x indicates acute liquidity stress with current liabilities exceeding current assets, creating near-term solvency concerns. Operational unprofitability with -$673.6M operating loss and -9.7% operating margin is unsustainable and indicates fundamental business model challenges.
What is PENN's revenue and growth?
PENN Entertainment, Inc. reported revenue of $7.0B.
Does PENN pay dividends?
PENN Entertainment, Inc. does not currently pay dividends.
Where can I find PENN SEC filings?
Official SEC filings for PENN Entertainment, Inc. (CIK: 0000921738) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is PENN's EPS?
PENN Entertainment, Inc. has a diluted EPS of $-5.83.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is PENN a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, PENN Entertainment, Inc. has a STRONG SELL rating with 88% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is PENN stock overvalued or undervalued?
Valuation metrics for PENN: ROE of -46.0% (sector avg: 8%), net margin of -12.1% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
Should I buy PENN stock in 2026?
Our dual AI analysis gives PENN Entertainment, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is PENN's free cash flow?
PENN Entertainment, Inc.'s operating cash flow is $508.2M, with capital expenditures of $207.8M. FCF margin is 4.3%.
How does PENN compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin -12.1% (avg: 20%), ROE -46.0% (avg: 8%), current ratio 0.79 (avg: 1.5).
Is PENN Entertainment, Inc. carrying too much debt?
PENN has a debt-to-equity ratio of 1.58x, which is above the Real Estate sector average of 1.5x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.