Morgan Stanley analyst Stephen Grambling has maintained their neutral stance on CZR stock, giving a Hold rating on April 14.
Stephen Grambling has given his Hold rating due to a combination of factors related to Caesars Entertainment’s current and future financial outlook. The company has maintained its forecast for slight growth in its physical locations and significant improvements in its digital segment, aiming for $1 billion in free cash flow by 2025. Despite these positive projections, there are concerns about potential recession impacts, which could lead to a decline in net revenues and EBITDA, particularly in the Las Vegas market.
Additionally, while the competitive environment in regional markets is stabilizing, there are still upcoming challenges that could exert pressure on the company’s performance. The digital segment offers potential for monetization, but it requires further development and structural adjustments to realize its full value. These mixed factors contribute to the Hold rating, as the company shows promise but faces uncertainties that could affect its near-term performance.
In another report released on April 14, Bank of America Securities also maintained a Hold rating on the stock with a $32.00 price target.
Based on the recent corporate insider activity of 45 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of CZR in relation to earlier this year.