PENN Entertainment (NASDAQ:PENN) Releases Earnings Results, Beats Estimates By $0.06 EPS

24 Apr 2026, 11:02 by Doug Wharley · The Cerbat Gem

PENN Entertainment (NASDAQ:PENN – Get Free Report) issued its quarterly earnings results on Thursday. The company reported $0.11 earnings per share for the quarter, topping analysts’ consensus estimates of $0.05 by $0.06, FiscalAI reports. The firm had revenue of $1.78 billion during the quarter, compared to analysts’ expectations of $1.74 billion. PENN Entertainment had a negative net margin of 12.11% and a negative return on equity of 1.94%. PENN Entertainment’s quarterly revenue was up 6.4% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.68 EPS.

Here are the key takeaways from PENN Entertainment’s conference call:

Retail strength and raised guidance: Q1 retail generated $1.4B of revenue and $471.4M adjusted EBITDA (33.2% margin), and management raised 2026 retail midpoints by $20M of revenue and $12M of adjusted EBITDA, driven by strong results at M Resort, Ameristar Black Hawk, St. Louis properties and Hollywood Joliet.
Interactive segment improving: Interactive adjusted EBITDA improved by roughly $78M YoY in Q1 on ~15% iCasino growth, ~5% online sports betting growth, and materially reduced marketing spend under a refocused U.S. iCasino/Canada strategy, with Ontario trends especially encouraging.
Alberta launch will pressure 2026 interactive results: theScore Bet’s Alberta launch (July 13) is expected to drive an incremental ~$20M adjusted EBITDA loss in 2026 — the sole reason interactive guidance moves to a ~$20M loss for the year — with Q3 being the largest quarterly hit before a profitable Q4.
Stronger liquidity and deleveraging roadmap: PENN exited Q1 with $1.7B total liquidity (including $708M cash), issued $600M notes to pay revolver borrowings, refinanced credit facilities, and expects to reduce lease‑adjusted net leverage by ≥1 turn and traditional net leverage by ≥2 turns by year-end 2026 while targeting >$3 of free cash flow per share.
CapEx discipline and project timing: 2026 CapEx guide trimmed to $420M (project CapEx $200M, maintenance $220M) with the Council Bluffs relocation pushed to 2028 (timing shift only), and expected GLPI funding (~$225M) for Hollywood Aurora in June, reflecting tighter capital allocation.

PENN Entertainment Stock Performance

Shares of PENN stock traded down $0.18 during mid-day trading on Friday, hitting $17.09. The stock had a trading volume of 1,831,679 shares, compared to its average volume of 4,384,929. PENN Entertainment has a fifty-two week low of $11.65 and a fifty-two week high of $20.60. The firm has a market cap of $2.28 billion, a PE ratio of -2.83, a PEG ratio of 0.48 and a beta of 1.32. The company has a debt-to-equity ratio of 3.92, a current ratio of 0.79 and a quick ratio of 0.79. The company’s 50-day simple moving average is $14.48 and its 200-day simple moving average is $14.74.

Wall Street Analysts Forecast Growth

PENN has been the subject of a number of recent research reports. Stifel Nicolaus increased their price target on shares of PENN Entertainment from $22.00 to $23.00 and gave the stock a “buy” rating in a research note on Friday. Mizuho increased their price target on shares of PENN Entertainment from $19.00 to $22.00 and gave the stock an “outperform” rating in a research note on Thursday, March 12th. Morgan Stanley increased their price target on shares of PENN Entertainment from $15.00 to $16.00 and gave the stock an “equal weight” rating in a research note on Wednesday, April 8th. JPMorgan Chase & Co. increased their price target on shares of PENN Entertainment from $21.00 to $22.00 and gave the stock an “overweight” rating in a research note on Thursday, April 16th. Finally, Deutsche Bank Aktiengesellschaft increased their price target on shares of PENN Entertainment from $17.00 to $18.00 and gave the stock a “hold” rating in a research note on Friday. Eight analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, PENN Entertainment presently has an average rating of “Hold” and an average target price of $20.07.

Read Our Latest Stock Analysis on PENN

Institutional Trading of PENN Entertainment

Several hedge funds have recently made changes to their positions in PENN. Caxton Associates LLP acquired a new stake in shares of PENN Entertainment in the 1st quarter worth $246,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in shares of PENN Entertainment by 30.2% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 344,565 shares of the company’s stock worth $5,620,000 after acquiring an additional 79,978 shares during the period. Russell Investments Group Ltd. lifted its stake in shares of PENN Entertainment by 6.7% in the 2nd quarter. Russell Investments Group Ltd. now owns 64,280 shares of the company’s stock worth $1,150,000 after acquiring an additional 4,011 shares during the period. First Trust Advisors LP lifted its stake in shares of PENN Entertainment by 169.6% in the 2nd quarter. First Trust Advisors LP now owns 94,575 shares of the company’s stock worth $1,690,000 after acquiring an additional 59,489 shares during the period. Finally, Marshall Wace LLP lifted its stake in shares of PENN Entertainment by 80.2% in the 2nd quarter. Marshall Wace LLP now owns 386,871 shares of the company’s stock worth $6,913,000 after acquiring an additional 172,158 shares during the period. Institutional investors and hedge funds own 91.69% of the company’s stock.

Key PENN Entertainment News

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

Positive Sentiment: Q1 beat on both EPS and revenue — PENN reported $0.11 EPS vs. $0.05 consensus and roughly $1.78B in revenue (above estimates), demonstrating a recovery vs. the prior year and supporting the bullish reaction. Read More.
Positive Sentiment: Property improvements are lifting visitation and spend — the December opening of the new M Resort tower drove higher visitation and helped Q1 results, underscoring the impact of capital projects on operating performance. Read More.
Positive Sentiment: Retail and online positioning gains are translating into YoY revenue growth — brand changes online plus retail spikes were highlighted as drivers of the quarter’s revenue increase. Read More.
Neutral Sentiment: Management commentary and the full earnings‑call transcript provide more color on operating trends and timing for retail/interactive growth; investors should watch the slide deck and guidance details for assumptions behind the retail midpoint and Alberta launch. Read More.
Neutral Sentiment: Some headlines framed results differently (e.g., “tops EPS despite revenue shortfall”), reflecting differences in which benchmarks (street estimates vs. company guidance or seasonal comps) outlets emphasize — expect mixed interpretations in near‑term trading. Read More.
Negative Sentiment: Guidance flag: PENN forecasted a 2026 interactive adjusted EBITDA loss of about $20M as it ramps the Alberta launch — this near‑term EBITDA drag and investment in interactive could pressure margins and investor sentiment. Read More.
Negative Sentiment: Balance‑sheet and profitability metrics remain a caution — PENN carries relatively high leverage and reported negative net margin/ROE, which could amplify downside if macro or visitation trends weaken.

About PENN Entertainment

(Get 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.