Posted on: August 4, 2022, 01:49h.
Last updated on: August 4, 2022, 03:16h.
Penn National Gaming is no more. Effective immediately, the regional casino powerhouse that controls the Hollywood brand will be known as Penn Entertainment.
The Wyomissing, Pa.-based gaming operator today revealed mixed results for its third quarter. But the financial filing was overshadowed by the company ending speculation as to what the firm’s new identity might be.
As Casino.org reported in May, Penn National filed numerous trademark applications for “Penn Entertainment” with the US Patent and Trademark Office. In its second quarter and half-year results, Penn Entertainment CEO Jay Snowden says the new identity better aligns with the company’s future.
Today is an exciting day for us as we become Penn Entertainment, Inc. Our new name maintains ties to our legacy while better reflecting our evolution into North America’s leading provider of integrated entertainment, sports content, and casino gaming experiences,” Snowden said in prepared remarks.
Penn Entertainment owns and/or operates 44 gaming properties in 20 states, plus online sports betting in 13 markets and iGaming in five. Among the company’s brands are Hollywood Casino, L’Auberge, Barstool Sportsbook, and theScore Bet.
Penn Past
Penn National Gaming is the oldest gaming operator in Pennsylvania. The company’s roots trace back to the 1960s with the development of the Penn National Race Course.
The racetrack, located about 15 air miles northeast of the Harrisburg capital, is where Penn — then known as the Penn National Race Course Corp. — first ventured into casino gambling with its inaugural Hollywood Casino at Penn National Race Course.
Penn was once confined to operating its flagship casino in Pennsylvania and running pari-mutuel wagering at the racetrack and at several off-track betting (OTB) facilities across the Commonwealth. Penn National Race Course Group rebranded to Penn National Gaming in 1994. That name change coincided with the company venturing outside its home state with new regional casino investments.
In 2020, Penn National Gaming began exploring a new identity after the company agreed to spend $163 million to acquire a 36% stake in Barstool Sports. Snowden says Penn Entertainment better represents the company’s diversified interests.
“Over the past few years, Penn has transformed our business through a highly differentiated strategy. (It is) focused on organic cross-sell opportunities, which is reinforced by our investments in market-leading retail casinos, sports media assets, owned technology — including a state-of-the-art, fully integrated digital sports and online casino betting platform — and an in-house iCasino content studio,” Snowden explained.
The new identity will not require a new ticker symbol. Penn has been traded on the Nasdaq under the ticker “PENN” since its public debut in May of 1994.
Share Buyback
Speaking of those publicly traded shares, Penn Entertainment announced today that it repurchased more than 9.3 million shares of its common stock during the first half of the year at an average price of $36.62 each. Investors have been glad to sell, as PENN shares have tumbled significantly over the past 12 months.
A year ago today, PENN shares were trading around $66. In September 2021, they were north of $84. Today, a PENN stock is going for just $36 — a 57% drop off from its 12-month high.