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PENN Entertainment (PENN Entertainment) Piotroski F-Score : 4 (As of Jun. 15, 2024)


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What is PENN Entertainment Piotroski F-Score?

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

PENN Entertainment has an F-score of 4 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for PENN Entertainment's Piotroski F-Score or its related term are showing as below:

PENN' s Piotroski F-Score Range Over the Past 10 Years
Min: 4   Med: 6   Max: 9
Current: 4

During the past 13 years, the highest Piotroski F-Score of PENN Entertainment was 9. The lowest was 4. And the median was 6.


PENN Entertainment Piotroski F-Score Historical Data

The historical data trend for PENN Entertainment's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

PENN Entertainment Piotroski F-Score Chart

PENN Entertainment Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Piotroski F-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.00 5.00 6.00 5.00 4.00

PENN Entertainment Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Piotroski F-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.00 6.00 4.00 4.00 4.00

Competitive Comparison of PENN Entertainment's Piotroski F-Score

For the Resorts & Casinos subindustry, PENN Entertainment's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


PENN Entertainment's Piotroski F-Score Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, PENN Entertainment's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where PENN Entertainment's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Mar24) TTM:Last Year (Mar23) TTM:
Net Income was 78.4 + -724.8 + -358.1 + -114.9 = $-1,119 Mil.
Cash Flow from Operations was 176 + 217 + -84.8 + -68.7 = $240 Mil.
Revenue was 1674.8 + 1619.4 + 1395.4 + 1606.9 = $6,297 Mil.
Gross Profit was 696.4 + 649 + 317.2 + 476.2 = $2,139 Mil.
Average Total Assets from the begining of this year (Mar23)
to the end of this year (Mar24) was
(17040 + 17028 + 16168.6 + 16064.2 + 15614.4) / 5 = $16383.04 Mil.
Total Assets at the begining of this year (Mar23) was $17,040 Mil.
Long-Term Debt & Capital Lease Obligation was $11,016 Mil.
Total Current Assets was $1,393 Mil.
Total Current Liabilities was $1,338 Mil.
Net Income was 26.1 + 123.5 + 20.8 + 514.4 = $685 Mil.

Revenue was 1626.9 + 1625 + 1585.6 + 1673.3 = $6,511 Mil.
Gross Profit was 726.5 + 667.9 + 670 + 699.5 = $2,764 Mil.
Average Total Assets from the begining of last year (Mar22)
to the end of last year (Mar23) was
(18071.1 + 17880.8 + 17535.1 + 17502.1 + 17040) / 5 = $17605.82 Mil.
Total Assets at the begining of last year (Mar22) was $18,071 Mil.
Long-Term Debt & Capital Lease Obligation was $11,239 Mil.
Total Current Assets was $1,753 Mil.
Total Current Liabilities was $1,271 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

PENN Entertainment's current Net Income (TTM) was -1,119. ==> Negative ==> Score 0.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

PENN Entertainment's current Cash Flow from Operations (TTM) was 240. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Mar23)
=-1119.4/17040
=-0.06569249

ROA (Last Year)=Net Income/Total Assets (Mar22)
=684.8/18071.1
=0.03789476

PENN Entertainment's return on assets of this year was -0.06569249. PENN Entertainment's return on assets of last year was 0.03789476. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

PENN Entertainment's current Net Income (TTM) was -1,119. PENN Entertainment's current Cash Flow from Operations (TTM) was 240. ==> 240 > -1,119 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Mar24)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Mar23 to Mar24
=11015.8/16383.04
=0.67239047

Gearing (Last Year: Mar23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Mar22 to Mar23
=11238.5/17605.82
=0.63834005

PENN Entertainment's gearing of this year was 0.67239047. PENN Entertainment's gearing of last year was 0.63834005. ==> Last year is lower than this year ==> Score 0.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Mar24)=Total Current Assets/Total Current Liabilities
=1392.9/1337.7
=1.04126486

Current Ratio (Last Year: Mar23)=Total Current Assets/Total Current Liabilities
=1753.4/1271
=1.37954367

PENN Entertainment's current ratio of this year was 1.04126486. PENN Entertainment's current ratio of last year was 1.37954367. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

PENN Entertainment's number of shares in issue this year was 151.9. PENN Entertainment's number of shares in issue last year was 168.6. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=2138.8/6296.5
=0.33968078

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=2763.9/6510.8
=0.42451004

PENN Entertainment's gross margin of this year was 0.33968078. PENN Entertainment's gross margin of last year was 0.42451004. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Mar23)
=6296.5/17040
=0.36951291

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Mar22)
=6510.8/18071.1
=0.36028797

PENN Entertainment's asset turnover of this year was 0.36951291. PENN Entertainment's asset turnover of last year was 0.36028797. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=0+1+0+1+0+0+1+0+1
=4

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

PENN Entertainment has an F-score of 4 indicating the company's financial situation is typical for a stable company.

PENN Entertainment  (NAS:PENN) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


PENN Entertainment Piotroski F-Score Related Terms

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PENN Entertainment (PENN Entertainment) Business Description

Traded in Other Exchanges
Address
825 Berkshire Boulevard, Suite 200, Wyomissing, PA, USA, 19610
Penn Entertainment's origins date back to its 1972 racetrack opening in Pennsylvania. Today, Penn operates 43 properties across 20 states and 12 brands (such as Hollywood Casino and Ameristar), with land-based casinos representing 90% of total sales in 2022 (10% was from the interactive segment, which includes sports, iGaming, and media revenue). The retail portfolio generates high-30% EBITDAR margins and helps position the company to obtain licenses for the digital wagering markets. Additionally, Penn's media assets, theScore and ESPN (starting with its partnership launch Nov. 14, 2023), provide access to sports betting/iGaming technology and clientele, helping it form a leading digital position.
Executives
Christopher Byron Rogers officer: EVP and Chief Strategy Officer 825 BERKSHIRE BLVD., WYOMISSING PA 19610
Jay A Snowden officer: EVP-Chief Operating Officer 825 BERKSHIRE BOULEVARD, SUITE 200, WYOMISSING PA 19610
Jane Scaccetti director 3111 W ALLEGHENY AVE, PHILADELPHIA PA 19132
Felicia Hendrix officer: EVP and CFO 825 BERKSHIRE BLVD., WYOMISSING PA 19610
David A Handler director 845 BERKSHIRE BLVD, SUITE 200, WYOMISSING PA 19610
Kohn Barbara Shattuck director PENN NATIONAL GAMING, INC, 825 BERKSHIRE BLVE, SUITE 200, WYOMISSING PA 19610
Christine Labombard officer: SVP and CAO 825 BERKSHIRE BOULEVARD, WYOMISSING PA 19610
Saul Reibstein officer: EVP-Finance, CFO & Treasurer C/O VISHAY PRECISION GROUP, INC., 3 GREAT VALLEY PARKWAY, SUITE 150, MALVERN PA 19355
Gupta Vimla Black director 825 BERKSHIRE BLVD., WYOMISSING PA 19610
Todd George officer: EVP, Operations 825 BERKSHIRE BLVD., WYOMISSING PA 19610
Marla Kaplowitz director 825 BERKSHIRE BLVD., WYOMISSING PA 19610
Ronald J Naples director 96 S. GEORGE STREET, SUITE 500, YORK PA 17401
Peter M Carlino director, 10 percent owner, officer: Chairman 845 BERKSHIRE BLVD, SUITE 200, WYOMISSING PA 19610
Harper H. Ko officer: EVP, CLO and Sec. 7250 S. TENAYA WAY, SUITE 100, LAS VEGAS NV 89113
Carl Sottosanti officer: SVP,Gen Counsel & Secretary 825 BERKSHIRE BOULEVARD, SUITE 200, WYOMISSING PA 19610