Algert Global LLC Lowers Stake in Churchill Downs Incorporated (NASDAQ:CHDN)

Algert Global LLC reduced its stake in shares of Churchill Downs Incorporated (NASDAQ:CHDN) by 67.2% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 2,037 shares of the company’s stock after selling 4,180 shares during the quarter. Algert Global LLC’s holdings in Churchill Downs were worth $272,000 at the end of the most recent quarter.

A number of other large investors have also recently made changes to their positions in CHDN. Blue Trust Inc. grew its holdings in Churchill Downs by 127.2% during the 4th quarter. Blue Trust Inc. now owns 184 shares of the company’s stock worth $25,000 after acquiring an additional 103 shares in the last quarter. Wilmington Savings Fund Society FSB bought a new position in Churchill Downs during the 3rd quarter worth about $27,000. Eagle Bay Advisors LLC bought a new position in Churchill Downs during the 4th quarter worth about $55,000. R Squared Ltd bought a new position in Churchill Downs during the 4th quarter worth about $55,000. Finally, Covestor Ltd grew its holdings in Churchill Downs by 46.8% during the 4th quarter. Covestor Ltd now owns 929 shares of the company’s stock worth $124,000 after acquiring an additional 296 shares in the last quarter. 82.59% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Churchill Downs

In related news, Director R Alex Rankin acquired 2,000 shares of the firm’s stock in a transaction that occurred on Monday, May 5th. The stock was purchased at an average cost of $92.65 per share, with a total value of $185,300.00. Following the transaction, the director now directly owns 99,012 shares of the company’s stock, valued at $9,173,461.80. This trade represents a 2.06% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Douglas C. Grissom purchased 10,000 shares of the business’s stock in a transaction that occurred on Wednesday, May 7th. The stock was acquired at an average price of $92.77 per share, for a total transaction of $927,700.00. Following the acquisition, the director now owns 38,869 shares in the company, valued at $3,605,877.13. This trade represents a 34.64% increase in their position. The disclosure for this purchase can be found here. 5.34% of the stock is currently owned by insiders.

Churchill Downs Stock Performance

Shares of Churchill Downs stock opened at $98.16 on Tuesday. The firm has a market capitalization of $7.09 billion, a P/E ratio of 17.28, a PEG ratio of 2.95 and a beta of 1.02. The company has a quick ratio of 0.55, a current ratio of 0.57 and a debt-to-equity ratio of 4.47. The company has a 50 day moving average price of $103.17 and a 200 day moving average price of $121.35. Churchill Downs Incorporated has a 52 week low of $85.58 and a 52 week high of $150.21.

Churchill Downs (NASDAQ:CHDN) last announced its quarterly earnings data on Wednesday, April 23rd. The company reported $1.07 EPS for the quarter, missing the consensus estimate of $1.08 by ($0.01). The company had revenue of $642.60 million during the quarter, compared to analysts’ expectations of $649.68 million. Churchill Downs had a net margin of 15.61% and a return on equity of 43.67%. The business’s revenue for the quarter was up 8.7% compared to the same quarter last year. During the same period in the previous year, the business earned $1.13 earnings per share. Sell-side analysts expect that Churchill Downs Incorporated will post 6.92 EPS for the current year.

Churchill Downs declared that its Board of Directors has authorized a stock buyback program on Wednesday, March 12th that allows the company to repurchase $500.00 million in outstanding shares. This repurchase authorization allows the company to buy up to 6.4% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company’s management believes its shares are undervalued.

Churchill Downs Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, April 15th. Investors of record on Monday, March 31st were given a $0.06 dividend. This represents a $0.24 annualized dividend and a dividend yield of 0.24%. Churchill Downs’s payout ratio is currently 7.12%.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on CHDN shares. Barclays dropped their target price on shares of Churchill Downs from $125.00 to $124.00 and set an “overweight” rating on the stock in a report on Friday, April 25th. Jefferies Financial Group dropped their target price on shares of Churchill Downs from $160.00 to $127.00 and set a “buy” rating on the stock in a report on Friday, April 25th. Wells Fargo & Company decreased their price target on shares of Churchill Downs from $165.00 to $158.00 and set an “overweight” rating for the company in a research report on Friday, February 21st. StockNews.com raised shares of Churchill Downs from a “sell” rating to a “hold” rating in a research report on Thursday, April 24th. Finally, Macquarie decreased their price target on shares of Churchill Downs from $172.00 to $154.00 and set an “outperform” rating for the company in a research report on Thursday, April 24th. One equities research analyst has rated the stock with a hold rating and ten have issued a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $143.50.

About Churchill Downs

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; casino gaming; and Terre Haute Casino Resort.