PENN ENTERTAINMENT INC (PENN) Stock Fundamental Analysis
USA - NASDAQ:PENN - US7075691094 - Common Stock
17.72 USD
-0.29 (-1.61%)
17.72 USD
0 (0%)
Taking everything into account, PENN scores 2 out of 10 in our fundamental rating. PENN was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and financial health of PENN have multiple concerns. PENN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PENN had negative earnings in the past year.
PENN had a positive operating cash flow in the past year.
In multiple years PENN reported negative net income over the last 5 years.
Each year in the past 5 years PENN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of PENN (-0.49%) is worse than 67.91% of its industry peers.
PENN has a Return On Equity (-2.51%) which is in line with its industry peers.
PENN has a Return On Invested Capital of 1.58%. This is in the lower half of the industry: PENN underperforms 72.39% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PENN is significantly below the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.49% | ||
| ROE | -2.51% | ||
| ROIC | 1.58% |
ROA(3y)-1.28%
ROA(5y)-1.18%
ROE(3y)-6.68%
ROE(5y)-7.01%
ROIC(3y)2.9%
ROIC(5y)3.09%
1.3 Margins
The Operating Margin of PENN (4.09%) is worse than 66.42% of its industry peers.
PENN's Operating Margin has declined in the last couple of years.
PENN's Gross Margin of 36.58% is on the low side compared to the rest of the industry. PENN is outperformed by 69.40% of its industry peers.
In the last couple of years the Gross Margin of PENN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.09% | ||
| PM (TTM) | N/A | ||
| GM | 36.58% |
OM growth 3Y-47.73%
OM growth 5Y-28.15%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.02%
GM growth 5Y-6.23%
2. Health
2.1 Basic Checks
PENN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, PENN has about the same amount of shares outstanding.
The number of shares outstanding for PENN has been increased compared to 5 years ago.
The debt/assets ratio for PENN is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.56, we must say that PENN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.56, PENN is not doing good in the industry: 73.13% of the companies in the same industry are doing better.
A Debt/Equity ratio of 2.38 is on the high side and indicates that PENN has dependencies on debt financing.
PENN has a Debt to Equity ratio of 2.38. This is comparable to the rest of the industry: PENN outperforms 45.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.38 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.56 |
ROIC/WACC0.21
WACC7.42%
2.3 Liquidity
A Current Ratio of 0.79 indicates that PENN may have some problems paying its short term obligations.
PENN has a Current ratio (0.79) which is comparable to the rest of the industry.
A Quick Ratio of 0.79 indicates that PENN may have some problems paying its short term obligations.
With a Quick ratio value of 0.79, PENN perfoms like the industry average, outperforming 45.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
PENN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 73.33%, which is quite impressive.
PENN shows a small growth in Revenue. In the last year, the Revenue has grown by 7.34%.
The Revenue has been growing slightly by 4.41% on average over the past years.
EPS 1Y (TTM)73.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%33.33%
Revenue 1Y (TTM)7.34%
Revenue growth 3Y3.66%
Revenue growth 5Y4.41%
Sales Q2Q%6.13%
3.2 Future
The Earnings Per Share is expected to grow by 40.76% on average over the next years. This is a very strong growth
PENN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.68% yearly.
EPS Next Y140.24%
EPS Next 2Y63.17%
EPS Next 3Y47.4%
EPS Next 5Y40.76%
Revenue Next Year6.07%
Revenue Next 2Y5.79%
Revenue Next 3Y5.44%
Revenue Next 5Y5.68%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PENN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 12.99, PENN is valued correctly.
Based on the Price/Forward Earnings ratio, PENN is valued a bit cheaper than the industry average as 78.36% of the companies are valued more expensively.
PENN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.99, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.99 |
4.2 Price Multiples
PENN's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.9 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PENN's earnings are expected to grow with 47.40% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y63.17%
EPS Next 3Y47.4%
5. Dividend
5.1 Amount
PENN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
17.72
-0.29 (-1.61%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners98.75%
Inst Owner Change1.05%
Ins Owners0.57%
Ins Owner Change2.13%
Market Cap2.59B
Revenue(TTM)6.75B
Net Income(TTM)-75000000
Analysts73.08
Price Target22.7 (28.1%)
Short Float %11.38%
Short Ratio4.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)36.83%
Min EPS beat(2)-382.33%
Max EPS beat(2)455.99%
EPS beat(4)2
Avg EPS beat(4)-13.05%
Min EPS beat(4)-382.33%
Max EPS beat(4)455.99%
EPS beat(8)4
Avg EPS beat(8)-22.89%
EPS beat(12)7
Avg EPS beat(12)46.09%
EPS beat(16)7
Avg EPS beat(16)21.88%
Revenue beat(2)0
Avg Revenue beat(2)-1.91%
Min Revenue beat(2)-3.66%
Max Revenue beat(2)-0.17%
Revenue beat(4)0
Avg Revenue beat(4)-2.35%
Min Revenue beat(4)-3.66%
Max Revenue beat(4)-0.17%
Revenue beat(8)0
Avg Revenue beat(8)-3.28%
Revenue beat(12)2
Avg Revenue beat(12)-2.19%
Revenue beat(16)4
Avg Revenue beat(16)-1.61%
PT rev (1m)0.28%
PT rev (3m)3.33%
EPS NQ rev (1m)-444.4%
EPS NQ rev (3m)-170.15%
EPS NY rev (1m)2.43%
EPS NY rev (3m)2%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)-0.4%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.99 | ||
| P/S | 0.38 | ||
| P/FCF | N/A | ||
| P/OCF | 5.21 | ||
| P/B | 0.87 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.9 |
EPS(TTM)-0.56
EYN/A
EPS(NY)1.36
Fwd EY7.7%
FCF(TTM)-1.38
FCFYN/A
OCF(TTM)3.4
OCFY19.21%
SpS46.2
BVpS20.47
TBVpS-8.02
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.49% | ||
| ROE | -2.51% | ||
| ROCE | 2% | ||
| ROIC | 1.58% | ||
| ROICexc | 1.66% | ||
| ROICexgc | 2.43% | ||
| OM | 4.09% | ||
| PM (TTM) | N/A | ||
| GM | 36.58% | ||
| FCFM | N/A |
ROA(3y)-1.28%
ROA(5y)-1.18%
ROE(3y)-6.68%
ROE(5y)-7.01%
ROIC(3y)2.9%
ROIC(5y)3.09%
ROICexc(3y)3.18%
ROICexc(5y)3.44%
ROICexgc(3y)4.59%
ROICexgc(5y)5.01%
ROCE(3y)3.67%
ROCE(5y)3.91%
ROICexgc growth 3Y-45.56%
ROICexgc growth 5Y-24.16%
ROICexc growth 3Y-44.83%
ROICexc growth 5Y-25.31%
OM growth 3Y-47.73%
OM growth 5Y-28.15%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.02%
GM growth 5Y-6.23%
F-Score6
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.38 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 10.02 | ||
| Cap/Depr | 160.69% | ||
| Cap/Sales | 10.36% | ||
| Interest Coverage | 0.7 | ||
| Cash Conversion | 69.91% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 0.56 |
F-Score6
WACC7.42%
ROIC/WACC0.21
Cap/Depr(3y)90.73%
Cap/Depr(5y)77.75%
Cap/Sales(3y)6.43%
Cap/Sales(5y)5.56%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)73.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%33.33%
EPS Next Y140.24%
EPS Next 2Y63.17%
EPS Next 3Y47.4%
EPS Next 5Y40.76%
Revenue 1Y (TTM)7.34%
Revenue growth 3Y3.66%
Revenue growth 5Y4.41%
Sales Q2Q%6.13%
Revenue Next Year6.07%
Revenue Next 2Y5.79%
Revenue Next 3Y5.44%
Revenue Next 5Y5.68%
EBIT growth 1Y330.42%
EBIT growth 3Y-45.82%
EBIT growth 5Y-24.98%
EBIT Next Year806.66%
EBIT Next 3Y126.81%
EBIT Next 5Y68.68%
FCF growth 1Y-142.43%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-35.08%
OCF growth 3Y-26.28%
OCF growth 5Y-12.6%
PENN ENTERTAINMENT INC / PENN FAQ
What is the ChartMill fundamental rating of PENN ENTERTAINMENT INC (PENN) stock?
ChartMill assigns a fundamental rating of 2 / 10 to PENN.
What is the valuation status of PENN ENTERTAINMENT INC (PENN) stock?
ChartMill assigns a valuation rating of 4 / 10 to PENN ENTERTAINMENT INC (PENN). This can be considered as Fairly Valued.
How profitable is PENN ENTERTAINMENT INC (PENN) stock?
PENN ENTERTAINMENT INC (PENN) has a profitability rating of 2 / 10.
Can you provide the financial health for PENN stock?
The financial health rating of PENN ENTERTAINMENT INC (PENN) is 1 / 10.
What is the expected EPS growth for PENN ENTERTAINMENT INC (PENN) stock?
The Earnings per Share (EPS) of PENN ENTERTAINMENT INC (PENN) is expected to grow by 140.24% in the next year.