Penn Entertainment Up After Narrower: than-expected Q2 loss

PENN Entertainment

08/08/2024 15:46

** Casino operator PENN Entertainment's shares  PENN.O  rise
4.5% to $18.03
    ** Co beats Wall St estimates for quarterly loss owing to 
narrower-than-expected loss in interactive segment
    ** Posted Q2 adjusted loss of 18 cents/sh vs analysts'
estimated loss of 25 cents - LSEG data
    ** PENN's interactive segment in 2023 ventured into $2 bln
online sports betting business with Disney's  DIS.N  ESPN,
called ESPN Bet
    ** The deal, including others, drew flak from activist
investor Donerail Group in May, saying PENN's board spent
"billions of dollars in failed online gaming deals"
    ** Co now awaits upcoming U.S. football season for upside in
 interactive segment growth
    ** "longer term direction of the stock is primarily
predicated on the forthcoming football season and the
interactive product traction" - Jefferies
    ** Q2 revenue of $1.66 bln came $8 mln above LSEG estimate
    ** Stock down 30.7% YTD

 (Reporting by Aatreyee Dasgupta)
 ((Aatreyee.Dasgupta@thomsonreuters.com))