Should You Buy Caesars Entertainment Inc (CZR) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Hold
Latest Price
21.280
1 Day change
-1.39%
52 Week Range
40.000
Analysis Updated At
2026/01/28
Not a good buy right now for a beginner long-term investor who doesn’t want to wait for a better entry. CZR is in a clear downtrend (bearish moving averages and weakening MACD) and is trading below the first support area, with an earnings event ahead (Feb 17) and lowered near-term visibility in Las Vegas. While it’s oversold and could bounce, the current setup is still technically weak and event-risky—so I would HOLD rather than buy immediately.
Technical Analysis
Trend is bearish. Moving averages are stacked negatively (SMA_200 > SMA_20 > SMA_5), signaling persistent downside momentum. MACD histogram is -0.382 and negatively expanding, confirming the downtrend is still strengthening. RSI_6 is ~22.3, which is deeply oversold (bounce potential), but oversold in a strong downtrend can persist. Price (~21.28) is below S1 (21.653) and closer to S2 (20.658), so immediate downside risk remains; a more constructive setup would be reclaiming ~21.65 and then the pivot ~23.26. Near-term resistance levels: ~23.26 (pivot) then ~24.87 (R1).
**Intellectia Proprietary Trading Signals**
- [AI Stock Picker](module://ai_stock_pick): No signal on given stock today.
- [SwingMax](module://swingmax): No signal on given stock today.
Options Data
Neutral
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Options sentiment is mildly bullish near-term: volume put/call at 0.48 implies more call buying than put buying today. Open interest put/call at 0.95 is roughly balanced (not strongly bullish or bearish). However, implied volatility is elevated (30D IV ~59% with IV percentile ~84), suggesting the market is pricing in large moves/uncertainty (consistent with the upcoming earnings and sector volatility). Option activity vs average is very high (today’s volume vs 30D avg ~24x), reinforcing that traders are positioning aggressively, but not necessarily signaling a clean long-term entry.
Technical Summary
Sell
10
Buy
4
Positive Catalysts
- Oversold technical condition (RSI ~22) can fuel a short-term relief rally if selling pressure eases.
- Some Street optimism remains: Susquehanna upgraded to Positive with a higher PT ($31), and JPMorgan stays Overweight (PT $37), implying meaningful upside if fundamentals stabilize.
- Digital/online sports betting remains a key investor focus for 2026; any upside surprises in Digital performance/hold could act as a catalyst.
- Pattern-based model suggests modest positive drift probabilities (next month expectation referenced as +5.34%).
Neutral/Negative Catalysts
- Strong bearish trend: MA stack bearish and MACD worsening—technicals do not yet show a bottom.
- Las Vegas visibility concerns: TD Cowen flagged turbulence and reduced estimates; multiple firms cut price targets recently.
- Earnings catalyst risk on 2026-02-17 (after hours): expectations are still for a loss (Est. EPS -0.11), and any weakness in visitation/digital hold could pressure shares.
- Latest quarter showed margin pressure (gross margin down ~11.58% YoY), which is a fundamental headwind even if losses narrowed.
Financial Performance
Latest provided quarter: 2025/Q3. Revenue was $2.869B (-0.17% YoY), indicating essentially flat-to-slightly declining top-line growth. Net income improved sharply YoY (loss narrowed to -$55M, +511% YoY improvement) and EPS improved to -$0.27 (+575% YoY improvement), but profitability is still negative. Gross margin fell to 34.37% (-11.58% YoY), which is a concern because the improvement in earnings is occurring alongside worsening margins—suggesting cost/efficiency and mix issues remain important to monitor.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent Street trend is mixed but skewed to caution via price-target cuts despite several Buy/Overweight ratings staying in place. In January, JPMorgan trimmed PT to $37 (kept Overweight), TD Cowen cut PT to $35 (kept Buy) citing reduced near-term visibility, and Morgan Stanley cut PT to $27 (kept Equal Weight). Offsetting this, Susquehanna upgraded to Positive and raised PT to $31, arguing risk/reward looks attractive. Overall Wall Street pros: potential upside if regional portfolio inflects and Digital surprises. Cons: muted fundamentals/Las Vegas uncertainty, uneven visitation, and skepticism around land-based operators’ digital investment returns.
Influential/flow check: Hedge funds and insiders are Neutral (no notable recent trend). No recent congress trading data available.
Wall Street analysts forecast CZR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CZR is 29.66 USD with a low forecast of 21 USD and a high forecast of 40 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
Wall Street analysts forecast CZR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CZR is 29.66 USD with a low forecast of 21 USD and a high forecast of 40 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Buy
5 Hold
0 Sell
Moderate Buy
Current: 21.580
Low
21
Averages
29.66
High
40
Current: 21.580
Low
21
Averages
29.66
High
40
JPMorgan
Overweight
maintain
$38 -> $37
AI Analysis
2026-01-23
Reason
JPMorgan
Price Target
$38 -> $37
AI Analysis
2026-01-23
maintain
Overweight
Reason
JPMorgan lowered the firm's price target on Caesars to $37 from $38 and keeps an Overweight rating on the shares. The firm adjusted targets in the gaming space as part of a Q4 earnings preview. Gaming stocks "are carrying a lot of baggage and negativity," so investors should be selective, the analyst tells investors in a research note. JPMorgan believes digital is the segment with the greatest opportunity for earnings beats.
TD Cowen
Buy
downgrade
$40 -> $35
2026-01-21
Reason
TD Cowen
Price Target
$40 -> $35
2026-01-21
downgrade
Buy
Reason
TD Cowen lowered the firm's price target on Caesars to $35 from $40 and keeps a Buy rating on the shares. The firm said with reduced near-term visibility particularly in Las Vegas, they expect some turbulence when Caesars reports 4Q25 earnings on February 17. They lowered their 4Q25E and F26E estimates on uneven visitation and greater volatility in Digital hold.
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