10 Best Entertainment Stocks To Buy According to Analysts

4. Caesars Entertainment, Inc. (NASDAQ:CZR)

Analysts’ Upside Potential: 41.85%

Number of Hedge Funds: 67 

Caesars Entertainment, Inc. (NASDAQ:CZR) is a major company in the casino and entertainment industry in the United States. It owns and operates over 50 casinos across the United States, primarily under well-known brands like Caesars, Harrah’s, and Horseshoe. The company runs hotels connected to its casinos, providing approximately 44,900 hotel rooms. It also hosts numerous live events such as concerts and shows at its properties, enhancing the overall guest experience beyond just gaming.

In the third quarter of 2024, Caesars Digital, the online gaming and sports betting division of Caesars Entertainment, Inc. (NASDAQ:CZR), showcased growth and performance. The segment reported $303 million in net revenues, marking a 41% increase compared to the same quarter last year. This reflects a strong demand for digital gaming and sports betting services. The segment also achieved a record adjusted EBITDA of $52 million, a significant rise from just $2 million in Q3 2023.

Moreover, within the digital segment, the Caesars Palace app has been growing as a key contributor to overall iCasino revenues, highlighting the effectiveness of its mobile strategy. Caesars Entertainment, Inc. (NASDAQ:CZR) has launched the Horseshoe Casino brand in multiple states including Michigan, Pennsylvania, and West Virginia, with plans to expand into Ontario and New Jersey by year-end. It is one of the best entertainment stocks according to analysts.

Choice Equities Capital Management stated the following regarding Caesars Entertainment, Inc. (NASDAQ:CZR) in its Q3 2024 investor letter:

“Caesars Entertainment, Inc. (NASDAQ:CZR) and GENI – Both Caesars Entertainment, Inc. and Genius Sports Limited operate in and around the entertainment, casino and gaming space. Caesars is a bit more well-known and discussed in brief below. Caesars Entertainment is the owner of a strong casino and entertainment brand, with a diverse portfolio of properties strategically focused on both physical and digital growth. The company’s leadership in the U.S. casino and resort industry is underpinned by its expansive footprint, including marquee properties on the Las Vegas strip, new and existing regional casinos in growing markets, and its growing Caesars Sportsbook platform. With the ongoing recovery in leisure and travel post-pandemic, combined with the secular tailwinds in online sports betting and iGaming, Caesars is well-positioned to capture growth across multiple segments. Recently emerging from a sizeable multi-year investment cycle, shares of Caesars look attractive on a mid-teens yield of forward cash-flows. Some recent refinancings and a share buyback highlight the improved look of the company’s financials.”