The Donerail Group, an activist investor, has highlighted an opportunity for significant value creation at Penn Entertainment. Following Donerail's call for the sale of the highly shorted casino company, Penn shares soared, trading up 19% at daily highs and 6.6% pre-market. Donerail criticized Penn's digital strategy and CEO leadership, citing a failed online gaming strategy that has destroyed shareholder value. Specific points of contention include Penn's $1 sale of Barstool Sports and the launch of a new betting platform with ESPN. The activist investor believes that selling the company could potentially double its stock value. Donerail also pointed to a growing pattern of guidance misses that have damaged management’s credibility.
Highly shorted $PENN Penn Entertainment Inc. soared today after an activist investor Donerail Group called for the sale of the casino company, saying a failed deal and growing pattern of guidance misses have damaged management’s credibility. https://t.co/c6mwyCiDmF
Penn Entertainment shares jumped after activist Donerail Group called for the sale of the gambling company https://t.co/aI8NmUY1OA
$PENN - PENN Entertainment shares are trading firmly +19% on daily highs after pre-mkt news that activist "investor" Donerail Group penned an impressive letter criticizing PENN's board & said the stock could be a double if the co. was sold. -The Street seems definitely onboard w/…
Activist investor Donerail Group pushed Penn Entertainment to pursue a sale, ripping Penn for a "failed" online gaming strategy that has "destroyed shareholder value," including its $1 sale of Barstool Sports and launch of a new betting platform with ESPN. https://t.co/QkV6r3LuS1
Concerned Penn shareholder weighs in https://t.co/85n41U7WOR
Activist PENN investor slams operator’s digital strategy and CEO leadership https://t.co/rbJf0pDNJE https://t.co/xWTgfs5yzr
Penn shares soared after an activist investor called for the sale of the casino company https://t.co/vrluiV6tW8
$PENN (+6.6% pre) The Donerail Group Highlights Opportunity for Significant Value Creation at PENN Entertainment - SI https://t.co/t8J34cVCUS
The Donerail Group Highlights Opportunity for Significant Value Creation at PENN Entertainment https://t.co/Pse9yKQUuM https://t.co/f6eGMJYI6A