Home Sectors Consumer Cyclical Stock Valuation: Penn National Gaming (NASDAQ: PENN)

Stock Valuation: Penn National Gaming (NASDAQ: PENN)


Penn National Gaming is part of the travel and leisure industry and is in the consumer cyclical sector. The company CEO is Timothy J. Wilmott. Penn National Gaming Inc is a diversified, multi-jurisdictional owner and manager of gaming and racing facilities and video gaming terminal operations with a focus on slot machine entertainment.

Previous Intraday Trading Performance:

The PENN stock showed a previous change of 6.28% with an open at 17.87 and a close of 18.80. It reached an intraday high of 18.81 and a low of 17.76.

SeekingAlpha:  BAML clips PT on Penn National Gaming


The stock has a market cap of $2.2b with 117.1m shares outstanding, of which the float is 114.7m shares. Trading volume reached 3,762,554 shares compared to its average volume of 2,579,703 shares. Based on the current average volume and close price, the trading liquidity is good.

Historical Trading Performance:

Over the last five trading days, Penn National Gaming shares returned -7.53% and in the past 30 trading days it returned -14.66%. Over three months, it changed -21.34%. In one year it has changed -44.25% and within that year its 52-week high was 36.90 and its 52-week low was 17.30. PENN stock is 8.67% above its 52 Week Low.

Our calculations show a 200 day moving average of 24.53 and a 50 day moving average of 20.61. Currently PENN stock is trading -23.37% below its 200 day moving average and may not be a good opportunity to buy as it may continue to trend down.

SeekingAlpha:  BAML clips PT on Penn National Gaming


The last annual fiscal EPS for the company was reported at 0.93 that ended on 31st of December 2018, which according to the previous close, that is a PE of 20.22. Based on 6 analyst estimates, the consensus EPS for the next quarter is 0.40. The TTM EPS is 1.06, which comes to a TTM PE of 17.74.

Below was the last reported quarterly diluted earnings per share:

1stQtr of 2019 (Reported on 05/02/2019): 0.35
4thQtr of 2018 (Reported on 02/07/2019): -0.37
3rdQtr of 2018 (Reported on 11/01/2018): 0.38
2ndQtr of 2018 (Reported on 07/26/2018): 0.57
1stQtr of 2018 (Reported on 04/26/2018): 0.48

Base on our calculations, the intrinsic value per share is 39.31, which means it is possibly undervalued and has a margin of safety of 52.18%.

Indicators to Watch:

The current calculated beta is 1.87.

Business Wire:  Medical Properties Trust Acquires 46% Interest in $900 Million Portfolio of Premier Swiss Hospitals

Fundamental Indicators:

Based on last reported financials, the company’s return on equity is 9.73%, return on assets is 0.98%, profit margin is 2.22%, price-to-sales is 0.51 and price-to-book is 1.11.

Company Scores:

All scores are out of six:
 5  :Valuation Score
 1  :Past Performance Score
 0  :Financial Strength Score
 3  :Future Growth Score
 0  :Dividend Score
 2  :Overall Score

John Jones
Worked for several Wall Street firms: Salomon Smith Barney, UBS, and Charles Schwab. Has developed skills and gained extensive experience over the years that is used today to uncover winning penny stocks.Also was an attorney for small businesses in Scottsdale, Arizona. That experience and understanding of law provides a unique perspective and edge in discovering quality companies in various industries.