Billionaire David Einhorn’s 10 Stock Picks with Huge Upside Potential

7. PENN Entertainment, Inc. (NASDAQ:PENN)

Greenlight Capital’s Q4 Stake: $113.9 million

Analyst Upside as of April 30: 40.99%

Number of Hedge Fund Holders: 51

Penn Entertainment, Inc. (NASDAQ:PENN) offers integrated entertainment, sports content, and casino gaming experiences. The company consists of five segments: Northeast, South, West, Midwest, and Interactive. Its portfolio includes casinos, racetracks, and online sports betting in a number of locations.

On April 3, Raymond James reiterated its Market Perform rating for PENN Entertainment, Inc (NASDAQ:PENN). RJ Milligan, the firm’s analyst, revised the model and forecasts for the company after taking into account fourth-quarter performance and 2025 guidance. In his statement, Milligan stated that, while he feels PENN Entertainment’s shares are currently undervalued, the firm prefers to remain cautious. This position stems from the company’s continued journey toward digital profitability, which Milligan referred to as the “anchor around the stock.”

In the fourth quarter of 2024, the company’s Interactive division generated revenues of $142 million. The Interactive division is primarily focused on its ESPN BET online sports betting platform. PENN Entertainment, Inc (NASDAQ:PENN) expects to break even this year, with each successive quarter generating a decreasing loss, culminating in the first profitable quarter in Q4 2025 since the introduction of ESPN BET.