Date of Update: 06/10/2020

Penn National Gaming

Ticker: PENN

Theme: Casinos

Country: United States

Sector: Casinos & Gaming

Company Description:

Penn National Gaming is a diversified operator of gaming and racing properties and video gaming terminal operations. The company offers sports betting at its properties in Indiana, Iowa, Mississippi, Nevada, Pennsylvania and West Virginia, and operates an iGaming division through its subsidiary, Penn Interactive Ventures. In February 2020, the company completed the acquisition of a minority stake in Barstool Sports, a leading digital sports and media platform.

3 Company Facts:

  • In February 2020, Penn closed on its investment in Barstool Sports,a leading digital sports, entertainment and media platform, acquiring a 36% stake for approximately $163 million.1
  • As of 2019, Penn National owned, managed, or had ownership interests in 41 properties across 19 states, the large majority of which are subject to triple net leases with Gaming and Leisure Properties, Inc.
  • As of 2020, Barstool Sports had more than 66 million monthly active users across its platform.

3 Industry Facts:

  • 50% of the U.S. population is expected to have access to regulated sports betting by the end of 2022.2
  • Internet-based casino revenues in New Jersey grew 61.5% in 2019, versus 7% for land-based revenues.3
  • Louisiana and Maryland sports betting legislation is on the ballot in November 2020, while Missouri and Ohio are gaining momentum.4

 

3 Key Company Drivers:

  • Casino revenues
  • Retail betting revenues
  • Barstool MAUs

Notable Brands:

Barstool Sports logo
Barstool Sports, media company
Pinnacle Entertainment logo
Pinnacle Entertainment, regionl gaming operator
HollywoodCasino logo
HollywoodCasino.com, web gaming platform
MYCHOICE logo
MYCHOICE, loyalty program

Source(s):

  • 1Penn National IR
  • 2Eilers & Krejcik Gaming
  • 3New Jersey Division of Gaming Enforcement
  • 4JP Morgan

This is not a recommendation to buy or sell securities.