Stifel Analysts Cite Attractive Setup for Penn Entertainment (PENN) Despite Macroeconomic Uncertainty

Penn Entertainment, Inc. (NASDAQ:PENN) ranks among the best sin stocks to buy right now. Following a tour to Penn Entertainment, Inc. (NASDAQ:PENN)’s new land-based casinos in Illinois, Stifel maintained its Hold rating and $19 price target on the company on August 13. In addition to learning about the upcoming Aurora casino, which is expected to open in the first half of 2026, the analyst team also visited Penn’s recently opened Hollywood Joliet property, which debuted on August 11.

While adding that these returns might not be completely reflected in consensus estimates for fiscal year 2026, Stifel expressed confidence in its forecast of mid-teens percentage cash-on-cash returns for the two projects.

Although Stifel believes that Penn Entertainment, Inc. (NASDAQ:PENN) boasts an “increasingly attractive setup” with improved retail same-store cash flows and possible catalysts beginning in late 2025, the firm remains cautious due to macroeconomic uncertainty.

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.

While we acknowledge the potential of PENN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PENN and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.