We are fast approaching 13X this year's earnings. This, for a company that has been in the top 100 fastest growing companies four years running. With a great chance to do it again for the next couple years.
This is why there is no reason to panic. If PA. does not pass slots this year, then MD. and Ohio are very unlikely to pass slots this year, so CT continues to grow unabated and will soon have over 4000 machines. The market is simply taking everything but story stocks down at the moment. PENN could become a story stock with action in Illinois or PA., but until such time it will trade with the market. Although you have to believe less than 14 times 2004 earnings seems a bit oversold.
The charts show %R at 8.75 - I guess it is oversold. I ignored my personal indicators of selling at the 50 day and for sure when it went below the lower band 3 times recently. PA can pull this off anyday while doing the budget dances, and the 13th should be good news. A 20 - 30% pop I hope. Market really sucks and it's an election up year?