Churchill Downs (NASDAQ:CHDN) Stock Price Up 5.9% – Should You Buy?

Churchill Downs, Incorporated (NASDAQ:CHDN)’s share price traded up 5.9% on Wednesday . The stock traded as high as $85.09 and last traded at $85.3570. Approximately 596,380 shares traded hands during mid-day trading, a decline of 39% from the average daily volume of 970,048 shares. The stock had previously closed at $80.60.

Wall Street Analysts Forecast Growth

CHDN has been the subject of several analyst reports. Citizens Jmp lowered their target price on Churchill Downs from $149.00 to $137.00 and set a “market outperform” rating for the company in a research report on Friday, July 31st. Truist Financial set a $145.00 price target on Churchill Downs in a research report on Friday, June 12th. Jefferies Financial Group reissued a “buy” rating on shares of Churchill Downs in a research note on Thursday, July 2nd. Wolfe Research started coverage on Churchill Downs in a research note on Wednesday, September 2nd. They issued an “outperform” rating and a $119.00 price objective on the stock. Finally, Weiss Ratings upgraded Churchill Downs from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, September 2nd. Ten analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $134.89.

Churchill Downs Price Performance

The firm has a market cap of $5.87 billion, a P/E ratio of 14.49, a P/E/G ratio of 0.79 and a beta of 0.67. The company has a quick ratio of 0.36, a current ratio of 0.36 and a debt-to-equity ratio of 3.06. The business’s 50 day moving average is $86.67 and its two-hundred day moving average is $88.05.

Churchill Downs (NASDAQ:CHDN) last issued its quarterly earnings results on Wednesday, July 29th. The company reported $3.45 earnings per share for the quarter, hitting analysts’ consensus estimates of $3.45. Churchill Downs had a return on equity of 42.16% and a net margin of 13.82%.The firm had revenue of $980.00 million during the quarter, compared to the consensus estimate of $977.38 million. During the same period last year, the business posted $3.10 EPS. The business’s revenue was up 4.9% compared to the same quarter last year. As a group, analysts anticipate that Churchill Downs, Incorporated will post 7.14 earnings per share for the current year.

Institutional Investors Weigh In On Churchill Downs

A number of hedge funds have recently added to or reduced their stakes in CHDN. Kimelman & Baird LLC acquired a new stake in shares of Churchill Downs during the 2nd quarter worth approximately $27,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Churchill Downs during the second quarter worth $29,000. Root Financial Partners LLC grew its holdings in Churchill Downs by 1,173.1% in the first quarter. Root Financial Partners LLC now owns 331 shares of the company’s stock worth $30,000 after purchasing an additional 305 shares during the period. Twin Tree Management LP bought a new stake in Churchill Downs in the second quarter valued at $36,000. Finally, NewEdge Advisors LLC acquired a new position in shares of Churchill Downs during the first quarter valued at about $50,000. 82.59% of the stock is currently owned by institutional investors.

Churchill Downs Company Profile

Churchill Downs Incorporated is a gaming, entertainment and racing company headquartered in Louisville, Kentucky. The company owns and operates Churchill Downs Racetrack, home of the Kentucky Derby, as well as other thoroughbred racing venues, casinos, racinos and historical horse racing facilities.

Its operations include live and historical horse racing, casino gaming, video lottery and other gaming activities, hospitality, dining and entertainment. Through its TwinSpires business, Churchill Downs also provides online horse-racing wagering and related digital betting services in jurisdictions where such activities are permitted.

Founded in 1875, Churchill Downs has expanded from its namesake racetrack into a diversified gaming and entertainment company.