Accel Entertainment Sees $16.60 Target, 27.7% Upside from Chicago VGT Legalization
Analysts set a $16.60 price target on Accel Entertainment, implying 27.7% upside through FY2027, citing Chicago VGT legalization that could double its Illinois footprint and boost incremental EBITDA. Shares have risen 26.1% over the past three months, outperforming sector peers on operational efficiency gains and disciplined 1.6x leverage.
1. Analyst Rating and Upside
Analysts have assigned a Buy rating to Accel Entertainment with a $16.60 price target, reflecting a projected 27.7% upside through FY2027. This outlook factors in revenue contributions from video gaming terminals and potential mergers and acquisitions optionality.
2. Chicago VGT Legalization Catalyst
Recent legalization of video gaming terminals in Chicago represents a transformative catalyst for Accel, with estimates suggesting it could double the company’s Illinois footprint and deliver significant incremental EBITDA over the coming years.
3. Operational Efficiency and Leverage
Accel has achieved notable operational efficiency improvements and forged key partnerships, maintaining disciplined financial leverage at 1.6x EBITDA. This balanced capital structure supports further expansion and strategic acquisitions.
4. Peer Performance Comparison
Shares of Accel Entertainment have climbed 26.1% over the past three months, outperforming DraftKings’ 28.5% decline, Boyd Gaming’s 3.2% gain and Melco Resorts’ 33.7% drop, underscoring investor confidence in its growth strategy.