Churchill Downs (NASDAQ:CHDN) Shares Gap Up on Better-Than-Expected Earnings

Churchill Downs Incorporated (NASDAQ:CHDN) gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $123.39, but opened at $130.03. Churchill Downs shares last traded at $132.51, with a volume of 203,153 shares trading hands.

The company reported $1.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.78 by $0.35. Churchill Downs had a net margin of 13.72% and a return on equity of 44.33%. The business had revenue of $590.90 million for the quarter, compared to analyst estimates of $565.41 million. During the same quarter in the prior year, the business posted $0.98 EPS. Churchill Downs’s revenue for the quarter was up 5.6% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on CHDN. StockNews.com raised Churchill Downs from a “sell” rating to a “hold” rating in a research report on Friday. JMP Securities reiterated a “market outperform” rating and issued a $150.00 target price on shares of Churchill Downs in a research report on Wednesday, April 10th. Wells Fargo & Company raised shares of Churchill Downs from an “equal weight” rating to an “overweight” rating and raised their price target for the stock from $137.00 to $141.00 in a research report on Monday, April 15th. Truist Financial upped their price objective on shares of Churchill Downs from $140.00 to $145.00 and gave the company a “buy” rating in a report on Friday. Finally, Stifel Nicolaus raised their target price on shares of Churchill Downs from $150.00 to $153.00 and gave the stock a “buy” rating in a report on Friday. One analyst has rated the stock with a hold rating and eight have assigned a buy rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $144.50.

Institutional Investors Weigh In On Churchill Downs

Institutional investors have recently modified their holdings of the business. Oregon Public Employees Retirement Fund grew its stake in Churchill Downs by 0.5% in the 3rd quarter. Oregon Public Employees Retirement Fund now owns 19,160 shares of the company’s stock valued at $2,223,000 after acquiring an additional 100 shares during the period. UMB Bank n.a. increased its stake in shares of Churchill Downs by 59.8% during the first quarter. UMB Bank n.a. now owns 286 shares of the company’s stock worth $35,000 after purchasing an additional 107 shares in the last quarter. M&T Bank Corp raised its position in shares of Churchill Downs by 5.2% during the 4th quarter. M&T Bank Corp now owns 2,399 shares of the company’s stock worth $324,000 after purchasing an additional 118 shares during the last quarter. SeaCrest Wealth Management LLC boosted its holdings in Churchill Downs by 4.9% in the 4th quarter. SeaCrest Wealth Management LLC now owns 2,575 shares of the company’s stock worth $327,000 after buying an additional 121 shares during the last quarter. Finally, Lmcg Investments LLC increased its stake in Churchill Downs by 2.2% during the 3rd quarter. Lmcg Investments LLC now owns 5,916 shares of the company’s stock worth $686,000 after buying an additional 130 shares in the last quarter. 82.59% of the stock is currently owned by institutional investors and hedge funds.

Churchill Downs Stock Up 0.2 %

The firm has a market cap of $9.54 billion, a price-to-earnings ratio of 28.83, a PEG ratio of 8.59 and a beta of 1.03. The business has a fifty day simple moving average of $119.79 and a 200 day simple moving average of $120.64. The company has a debt-to-equity ratio of 5.34, a current ratio of 0.53 and a quick ratio of 0.53.

Churchill Downs Company Profile

Churchill Downs Incorporated operates as a racing, online wagering, and gaming entertainment company in the United States. It operates through three segments: Live and Historical Racing, TwinSpires, and Gaming. The company operates pari-mutuel gaming entertainment venues; TwinSpires, an online wagering platform for horse racing, sports, and iGaming; retail sports books; and casino gaming.