Penn Entertainment price target lowered to $35 from $40 at BofA

BofA analyst Shaun Kelley lowered the firm’s price target on Penn Entertainment to $35 from $40 and keeps a Neutral rating on the shares. In a 2023 preview note on the casino gaming group, Kelley said he is "largely neutral with some caution on Gaming heading into 2023," adding that "this is the first time in over a decade we haven’t had at least one Buy rating on one of the larger cap names in our group, as we await better risk-rewards." On the domestic side, he sees attractive valuations, but is concerned estimates may be too high, while "Macau is the opposite" as estimates are potentially too low, but he thinks historical valuations could be too high, Kelley tells investors.