Penn National Stock Price To Fall Sharply Despite Barstool Sports?
Is Penn National stock price set to fall sharply despite Barstool Sports?
That is what Deutsche Bank seems to believe based on a recent report.
In their analysis of Penn National, Deutsche Bank cited its concerns as the main motivation for suggesting a 40 percent possible reduction in share price.
Up until this week, Deutsche had the Penn National stock target at $22 per share. As of this week, that price target has dipped to $12 per share.
According to Deutsche, Penn National has “higher than peer blended gaming taxes,” which the bank believes will severely cut into the gambling company’s finances.
Many have wondered how Penn National’s decision to acquire 50 percent of Barstool Sports would impact its valuation. At the moment, the answer appears to be – minimally.
Currently, Penn National trades at $36.04.