Switch to:

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 4/10

vs
industry
vs
history
Cash to Debt 0.04
PNK's Cash to Debt is ranked lower than
60% of the 790 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 0.81 vs. PNK: 0.04 )
PNK' s 10-Year Cash to Debt Range
Min: 0.04   Max: 52.33
Current: 0.04

0.04
52.33
Equity to Asset 0.04
PNK's Equity to Asset is ranked lower than
60% of the 775 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 0.54 vs. PNK: 0.04 )
PNK' s 10-Year Equity to Asset Range
Min: 0.04   Max: 0.79
Current: 0.04

0.04
0.79
Interest Coverage 1.35
PNK's Interest Coverage is ranked lower than
57% of the 534 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 12.77 vs. PNK: 1.35 )
PNK' s 10-Year Interest Coverage Range
Min: 0.51   Max: 12.67
Current: 1.35

0.51
12.67
F-Score: 5
Z-Score: 0.07
M-Score: -1.69
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 10.63
PNK's Operating margin (%) is ranked higher than
75% of the 778 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 8.95 vs. PNK: 10.63 )
PNK' s 10-Year Operating margin (%) Range
Min: -33.05   Max: 14.88
Current: 10.63

-33.05
14.88
Net-margin (%) -2.66
PNK's Net-margin (%) is ranked lower than
51% of the 778 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 5.85 vs. PNK: -2.66 )
PNK' s 10-Year Net-margin (%) Range
Min: -30.88   Max: 13.14
Current: -2.66

-30.88
13.14
ROE (%) -7.11
PNK's ROE (%) is ranked lower than
55% of the 741 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 6.81 vs. PNK: -7.11 )
PNK' s 10-Year ROE (%) Range
Min: -52.24   Max: 21.27
Current: -7.11

-52.24
21.27
ROA (%) -1.51
PNK's ROA (%) is ranked lower than
51% of the 781 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 3.40 vs. PNK: -1.51 )
PNK' s 10-Year ROA (%) Range
Min: -16.81   Max: 7.99
Current: -1.51

-16.81
7.99
ROC (Joel Greenblatt) (%) 7.50
PNK's ROC (Joel Greenblatt) (%) is ranked higher than
63% of the 781 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 13.58 vs. PNK: 7.50 )
PNK' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -21.18   Max: 21.45
Current: 7.5

-21.18
21.45
Revenue Growth (%) 5.90
PNK's Revenue Growth (%) is ranked higher than
74% of the 602 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 5.50 vs. PNK: 5.90 )
PNK' s 10-Year Revenue Growth (%) Range
Min: -10.5   Max: 51.4
Current: 5.9

-10.5
51.4
EBITDA Growth (%) 26.00
PNK's EBITDA Growth (%) is ranked higher than
89% of the 498 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 7.40 vs. PNK: 26.00 )
PNK' s 10-Year EBITDA Growth (%) Range
Min: -30.4   Max: 132.9
Current: 26

-30.4
132.9
EPS Growth (%) -34.90
PNK's EPS Growth (%) is ranked higher than
50% of the 418 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 7.70 vs. PNK: -34.90 )
PNK' s 10-Year EPS Growth (%) Range
Min: -34.9   Max: 222.4
Current: -34.9

-34.9
222.4
» PNK's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

PNK Guru Trades in Q1 2013

Ron Baron 2,448,445 sh (New)
Paul Tudor Jones 16,400 sh (New)
John Paulson 126,000 sh (unchged)
Steven Cohen Sold Out
Columbia Wanger 5,949,000 sh (-1.56%)
Mario Gabelli 692,900 sh (-6.23%)
» More
Q2 2013

PNK Guru Trades in Q2 2013

Steven Cohen 388,697 sh (New)
Jean-Marie Eveillard 26,000 sh (New)
Ron Baron 5,337,326 sh (+117.99%)
Mario Gabelli 867,900 sh (+25.26%)
Paul Tudor Jones Sold Out
John Paulson Sold Out
Columbia Wanger 2,927,970 sh (-50.78%)
» More
Q3 2013

PNK Guru Trades in Q3 2013

Jim Simons 250,200 sh (New)
Steven Cohen 848,572 sh (+118.31%)
Ron Baron 5,800,400 sh (+8.68%)
Jean-Marie Eveillard 26,000 sh (unchged)
Columbia Wanger Sold Out
Mario Gabelli 844,200 sh (-2.73%)
» More
Q4 2013

PNK Guru Trades in Q4 2013

Ron Baron 5,914,550 sh (+1.97%)
Jean-Marie Eveillard Sold Out
Mario Gabelli 831,200 sh (-1.54%)
Jim Simons 230,600 sh (-7.83%)
Steven Cohen 436,897 sh (-48.51%)
» More
» Details

Insider Trades

Latest Guru Trades with PNK

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Jean-Marie Eveillard 2013-12-31 Sold Out $22.57 - $25.98 $ 22.08-9%0
Ron Baron 2013-06-30 Add 117.99%0.3%$14.26 - $21 $ 22.0818%5337326
Mario Gabelli 2013-06-30 Add 25.26%0.02%$14.26 - $21 $ 22.0818%867900
John Paulson 2013-06-30 Sold Out 0.01%$14.26 - $21 $ 22.0818%0
Jean-Marie Eveillard 2013-06-30 New Buy$14.26 - $21 $ 22.0818%26000
Ron Baron 2013-03-31 New Buy0.2%$13.4 - $16.68 $ 22.0846%2448445
John Paulson 2012-12-31 New Buy0.01%$11.31 - $16.2 $ 22.0874%126000
John Burbank 2012-09-30 Sold Out 0.0038%$9.02 - $12.43 $ 22.08106%0
John Burbank 2012-06-30 New Buy$9.07 - $11.78 $ 22.08114%11489
Joel Greenblatt 2012-03-31 Sold Out 0.05%$9.7 - $11.57 $ 22.08119%0
Joel Greenblatt 2011-12-31 New Buy0.05%$8.39 - $12.21 $ 22.08115%43746
George Soros 2011-12-31 Sold Out 0.0023%$8.39 - $12.21 $ 22.08115%0
George Soros 2011-09-30 New Buy$9.48 - $15.24 $ 22.0872%15100
George Soros 2011-06-30 Sold Out $12.51 - $14.66 $ 22.0862%0
Mario Gabelli 2011-03-31 Reduce -48.28%0.07%$11.9 - $15.33 $ 22.0860%708300
George Soros 2011-03-31 Add 101.67%$11.9 - $15.33 $ 22.0860%24200
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Guru Investment Theses on Pinnacle Entertainment Inc.

Baron Funds Comments on Pinnacle Entertainment Inc. - Nov 25, 2013

Shares of Pinnacle Entertainment, Inc. (PNK), a regional casino company, increased 27.4% in the third quarter as the company completed its acquisition of Ameristar Casinos and entered into agreements to sell its St. Louis and Lake Charles properties. Now completed, we think the combined company can generate higher cash flow, which it can use to pay down debt and increase value for equity holders. We believe the $40 million of anticipated synergies is a conservative estimate. (David Baron)

From Ron Baron's Baron Funds third quarter 2013 commentary.


Check out Ron Baron latest stock trades

Baron Funds Comments on Pinnacle Entertainment Inc. - Aug 05, 2013

We increased our position in Pinnacle Entertainment, Inc. (PNK) in the quarter, as we remain excited by the company's prospective closing of its Ameristar acquisition. We believe the company will do what is necessary to receive FTC approval and close this transaction. We think the combined company should generate significant revenue and cost synergies that we think are not currently reflected in its stock price. These synergies combined with the company's current expansion projects of its own should generate significant cash flow growth in the years ahead. Management has indicated it will use this cash to quickly pay down debt and add significant value for shareholders. (David Baron)

From Baron Funds’ second quarter 2013 commentary.


Check out Ron Baron latest stock trades

Baron Funds Comments on Pinnacle Entertainment Inc. - May 01, 2013

We initiated a position in Pinnacle Entertainment, Inc. (PNK) during the quarter. Pinnacle is a regional gaming company with casinos in Louisiana, Missouri and Indiana. It is in the process of acquiring Ameristar Casinos, which should be highly accretive for the company and increase its diversity of assets and cash flow. Assuming the Ameristar acquisition closes this year and that the company completes its $580 million Lake Charles casino and $200 million Ohio racetrack with slot machines in 2014, the combined entity can almost triple its earnings. Management has indicated it will use its cash flow to repay debt. This would add significant value given the leverage post acquisition. (David Baron)

From Baron Funds’ first quarter 2013 letter.


Check out Ron Baron latest stock trades

Top Ranked Articles about Pinnacle Entertainment Inc.

Baron Funds Comments on Pinnacle Entertainment Inc.
Shares of Pinnacle Entertainment, Inc. (PNK), a regional casino company, increased 27.4% in the third quarter as the company completed its acquisition of Ameristar Casinos and entered into agreements to sell its St. Louis and Lake Charles properties. Now completed, we think the combined company can generate higher cash flow, which it can use to pay down debt and increase value for equity holders. We believe the $40 million of anticipated synergies is a conservative estimate. (David Baron) Read more...
Baron Funds Comments on Pinnacle Entertainment Inc.
We increased our position in Pinnacle Entertainment, Inc. (PNK) in the quarter, as we remain excited by the company's prospective closing of its Ameristar acquisition. We believe the company will do what is necessary to receive FTC approval and close this transaction. We think the combined company should generate significant revenue and cost synergies that we think are not currently reflected in its stock price. These synergies combined with the company's current expansion projects of its own should generate significant cash flow growth in the years ahead. Management has indicated it will use this cash to quickly pay down debt and add significant value for shareholders. (David Baron) Read more...
Columbia Wanger's May Portfolio Update
Columbia Wanger is one of the largest asset managers in America. As of March 31, the firm held 312 stocks valued at over $23 billion. On May 31, Columbia Wanger bought one new stock and cut their holdings of another in half. Read more...
Baron Funds Comments on Pinnacle Entertainment Inc.
We initiated a position in Pinnacle Entertainment, Inc. (PNK) during the quarter. Pinnacle is a regional gaming company with casinos in Louisiana, Missouri and Indiana. It is in the process of acquiring Ameristar Casinos, which should be highly accretive for the company and increase its diversity of assets and cash flow. Assuming the Ameristar acquisition closes this year and that the company completes its $580 million Lake Charles casino and $200 million Ohio racetrack with slot machines in 2014, the combined entity can almost triple its earnings. Management has indicated it will use its cash flow to repay debt. This would add significant value given the leverage post acquisition. (David Baron) Read more...

Ratios

vs
industry
vs
history
P/B 6.69
PNK's P/B is ranked lower than
70% of the 727 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 1.74 vs. PNK: 6.69 )
PNK' s 10-Year P/B Range
Min: 0.17   Max: 7.84
Current: 6.69

0.17
7.84
P/S 0.87
PNK's P/S is ranked higher than
73% of the 824 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 1.53 vs. PNK: 0.87 )
PNK' s 10-Year P/S Range
Min: 0.18   Max: 1.91
Current: 0.87

0.18
1.91
EV-to-EBIT 97.80
PNK's EV-to-EBIT is ranked lower than
73% of the 668 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 18.50 vs. PNK: 97.80 )
PNK' s 10-Year EV-to-EBIT Range
Min: 10.6   Max: 135.2
Current: 97.8

10.6
135.2

Valuation & Return

vs
industry
vs
history
Price/Median PS Value 1.17
PNK's Price/Median PS Value is ranked higher than
55% of the 727 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 1.10 vs. PNK: 1.17 )
PNK' s 10-Year Price/Median PS Value Range
Min: 0.34   Max: 8.45
Current: 1.17

0.34
8.45
Earnings Yield (Greenblatt) 1.00
PNK's Earnings Yield (Greenblatt) is ranked lower than
66% of the 688 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 5.40 vs. PNK: 1.00 )
PNK' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.7   Max: 9.4
Current: 1

0.7
9.4
Forward Rate of Return (Yacktman) -6.05
PNK's Forward Rate of Return (Yacktman) is ranked higher than
56% of the 528 Companies
in the Global Resorts & Casinos industry.

( Industry Median: 3.89 vs. PNK: -6.05 )
PNK' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -51.7   Max: 4
Current: -6.05

-51.7
4

Business Description

Industry: Travel & Leisure » Resorts & Casinos
Compare:LVS, SCHYY, GXYEY, WYNMF, SJMHF » details
Traded in other countries:HOY.Germany
Pinnacle Entertainment Inc., a Delaware corporation, is the successor to the Hollywood Park Turf Club, which was organized in 1938. The Company was incorporated in 1981 under the name Hollywood Park Realty Enterprises, Inc. In 1992, it changed its name to Hollywood Park, Inc. and in February 2000, it became Pinnacle Entertainment, Inc. The company is an owner, operator and developer of casinos and related hospitality and entertainment facilities. It operates casinos located in Lake Charles, New Orleans and Bossier City, Louisiana (L'Auberge Lake Charles, Boomtown New Orleans and Boomtown Bossier City), St. Louis, Missouri (River City Casino and Lumière Place Casino and Hotels), and southeastern Indiana. In addition, it owns and operates a racetrack facility in Cincinnati, Ohio. The Company operates casino properties, all of which include gaming and dining facilities, and some of which include hotel, retail and other amenities. In addition, it operates one racetrack. Its operating results are highly dependent on the volume of customers at its properties, which, in turn, affects the price it can charge for its hotel rooms and other amenities. The Company properties compete directly with other gaming properties in each state in which it operates, as well as in adjacent states. It also compete for customers with other casino operators in other markets, including casinos located on Native American reservations, and other forms of gaming, such as lotteries and Internet gaming. The Company businesses are subject to various federal, state and local laws and regulations in addition to gaming regulations.

Personalized Checklist








Within your circle of competence?
Macro economic environment favorable?
High quality business?
Enough margin of safety with stocks?
Gurus are buying?
Insiders are buying?
Management capable and shareholder friendly?
Catalyst for stock price to appreciate?
Your level of confidence with the research?

Add Notes, Comments or Ask Questions

User Comments

No comment yet

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK
Hide