Caesars Entertainment (NASDAQ:CZR) Shares Gap Down Following Weak Earnings

Shares of Caesars Entertainment, Inc. (NASDAQ:CZR - Get Free Report) gapped down before the market opened on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $45.28, but opened at $42.79. Caesars Entertainment shares last traded at $42.19, with a volume of 605,673 shares trading hands.

The company reported ($0.04) EPS for the quarter, missing the consensus estimate of $0.21 by ($0.25). Caesars Entertainment had a negative return on equity of 2.57% and a negative net margin of 2.44%. The company had revenue of $2.87 billion for the quarter, compared to analyst estimates of $2.93 billion. During the same period last year, the firm posted $0.34 earnings per share. The business's revenue was down 4.0% on a year-over-year basis.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on CZR. StockNews.com downgraded Caesars Entertainment from a "hold" rating to a "sell" rating in a research note on Thursday, August 1st. Morgan Stanley upped their price objective on Caesars Entertainment from $40.00 to $42.00 and gave the stock an "equal weight" rating in a research note on Tuesday, October 22nd. Barclays reduced their price target on shares of Caesars Entertainment from $59.00 to $57.00 and set an "overweight" rating for the company in a report on Wednesday. Susquehanna reiterated a "negative" rating and issued a $33.00 price objective on shares of Caesars Entertainment in a research report on Wednesday, July 31st. Finally, Wells Fargo & Company decreased their target price on shares of Caesars Entertainment from $58.00 to $53.00 and set an "overweight" rating for the company in a research report on Wednesday. Two analysts have rated the stock with a sell rating, one has assigned a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat, Caesars Entertainment has a consensus rating of "Moderate Buy" and a consensus price target of $54.00.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of CZR. Innealta Capital LLC grew its position in shares of Caesars Entertainment by 23,029.2% in the third quarter. Innealta Capital LLC now owns 5,551 shares of the company's stock valued at $232,000 after purchasing an additional 5,527 shares during the last quarter. Helikon Investments Ltd increased its position in Caesars Entertainment by 67.1% in the 3rd quarter. Helikon Investments Ltd now owns 1,587,547 shares of the company's stock worth $66,264,000 after buying an additional 637,303 shares during the period. US Bancorp DE lifted its holdings in shares of Caesars Entertainment by 87.9% during the third quarter. US Bancorp DE now owns 15,967 shares of the company's stock worth $666,000 after buying an additional 7,469 shares during the last quarter. First Trust Direct Indexing L.P. grew its stake in shares of Caesars Entertainment by 16.5% in the third quarter. First Trust Direct Indexing L.P. now owns 9,513 shares of the company's stock worth $397,000 after acquiring an additional 1,345 shares during the last quarter. Finally, Trajan Wealth LLC acquired a new position in Caesars Entertainment during the 3rd quarter valued at $208,000. Institutional investors own 91.79% of the company's stock.

Caesars Entertainment Trading Down 8.3 %

The business's fifty day simple moving average is $40.90 and its two-hundred day simple moving average is $38.14. The company has a current ratio of 0.70, a quick ratio of 0.68 and a debt-to-equity ratio of 5.56. The stock has a market capitalization of $8.99 billion, a P/E ratio of 11.67 and a beta of 2.97.

Caesars Entertainment Company Profile

Caesars Entertainment, Inc operates as a gaming and hospitality company. The company owns, leases, or manages domestic properties in 18 states with slot machines, video lottery terminals and e-tables, and hotel rooms, as well as table games, including poker. It also operates and conducts retail and online sports wagering across 31 jurisdictions in North America and operates iGaming in five jurisdictions in North America; sports betting from our retail and online sportsbooks; and other games, such as keno.