Churchill Downs, Incorporated (NASDAQ:CHDN) Stock Has Average Price Target of $126.70

Shares of Churchill Downs, Incorporated (NASDAQ:CHDN) have earned a consensus rating of “Moderate Buy” from the twelve analysts that are covering the firm, Marketbeat reports. One investment analyst has rated the stock with a hold recommendation and eleven have given a buy recommendation to the company. The average 1 year price objective among analysts that have covered the stock in the last year is $126.70.

CHDN has been the topic of a number of research reports. Truist Financial cut their price objective on Churchill Downs from $145.00 to $140.00 and set a “buy” rating on the stock in a report on Tuesday, October 20th. Weiss Ratings upgraded Churchill Downs from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, September 2nd. Citizens Jmp dropped their target price on shares of Churchill Downs from $137.00 to $131.00 and set a “market outperform” rating for the company in a research report on Tuesday, October 13th. JPMorgan Chase & Co. raised their price target on shares of Churchill Downs from $118.00 to $120.00 and gave the company an “overweight” rating in a report on Friday. Finally, Stifel Nicolaus set a $132.00 price target on shares of Churchill Downs and gave the company a “buy” rating in a report on Tuesday.

Institutional Investors Weigh In On Churchill Downs

Large investors have recently modified their holdings of the stock. Kimelman & Baird LLC acquired a new position in Churchill Downs during the 2nd quarter worth approximately $27,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new stake in Churchill Downs in the second quarter valued at approximately $29,000. Root Financial Partners LLC raised its stake in shares of Churchill Downs by 1,173.1% during the first quarter. Root Financial Partners LLC now owns 331 shares of the company’s stock valued at $30,000 after purchasing an additional 305 shares during the period. Twin Tree Management LP purchased a new stake in shares of Churchill Downs during the second quarter valued at approximately $36,000. Finally, NewEdge Advisors LLC purchased a new stake in shares of Churchill Downs during the first quarter valued at approximately $50,000. Institutional investors and hedge funds own 82.59% of the company’s stock.

Churchill Downs Trading Up 4.0%

Shares of CHDN stock opened at $94.83 on Friday. The firm’s 50-day simple moving average is $82.91 and its 200-day simple moving average is $88.28. The company has a debt-to-equity ratio of 2.95, a current ratio of 0.32 and a quick ratio of 0.36. Churchill Downs has a 1-year low of $73.08 and a 1-year high of $118.35. The firm has a market cap of $6.50 billion, a P/E ratio of 14.73, a PEG ratio of 1.00 and a beta of 0.77.

Churchill Downs (NASDAQ:CHDN) last posted its quarterly earnings results on Wednesday, October 28th. The company reported $1.23 earnings per share for the quarter, topping analysts’ consensus estimates of $1.13 by $0.10. Churchill Downs had a net margin of 15.15% and a return on equity of 39.90%. The company had revenue of $696.00 million for the quarter, compared to the consensus estimate of $695.16 million. During the same quarter last year, the firm posted $1.09 earnings per share. Churchill Downs’s revenue was up 1.9% on a year-over-year basis. As a group, equities analysts forecast that Churchill Downs will post 6.98 EPS for the current year.

Churchill Downs Increases Dividend

The business also recently declared an annual dividend, which will be paid on Tuesday, January 5th. Investors of record on Friday, December 4th will be issued a $0.4690 dividend. The ex-dividend date is Friday, December 4th. This represents a yield of 57.0%. This is an increase from Churchill Downs’s previous annual dividend of $0.4380. Churchill Downs’s payout ratio is currently 6.83%.

Key Stories Impacting Churchill Downs

Here are the key news stories impacting Churchill Downs this week:

• Positive Sentiment: Third-quarter results exceeded expectations. Churchill Downs reported adjusted earnings of $1.23 per share, ahead of the approximately $1.13 consensus estimate, while revenue reached $696.0 million versus expectations of roughly $695.2 million. Revenue increased 1.9% year over year, and the earnings performance appears to have strengthened investor confidence in the company’s cash-flow outlook. Churchill Downs third-quarter earnings results
• Positive Sentiment: $750 million share repurchase authorized. The buyback could support earnings per share and provide demand for CHDN shares, particularly as management emphasizes cash generation. Churchill Downs $750 million buyback
• Positive Sentiment: Analysts raised their targets. Barclays increased its target from $132 to $133 and maintained an “overweight” rating, while Mizuho lifted its target from $125 to $126 and retained an “outperform” rating. Both imply substantial upside from the recent trading level. Barclays Churchill Downs rating Mizuho Churchill Downs rating
• Positive Sentiment: Dividend increased. Churchill Downs declared an annual dividend of $0.469 per share, up 7.1% from $0.438, payable January 5, 2027. The increase adds to the shareholder-return appeal, although the dividend yield remains modest. Churchill Downs dividend declaration
• Positive Sentiment: Technical momentum improved. CHDN shares broke above their 200-day moving average, a development that may attract momentum-oriented investors. Churchill Downs moves above 200-day moving average
• Neutral Sentiment: Churchill Downs appointed Michael Tucker as a Class II director. The board change is unlikely to materially affect near-term valuation. Michael Tucker board appointment
• Negative Sentiment: Stifel lowered its price target to $131, modestly tempering the otherwise bullish analyst tone, although it kept CHDN on its Select List. Stifel Churchill Downs price target

Churchill Downs Company Profile

Churchill Downs Incorporated (NASDAQ: CHDN) is a gaming, racing and entertainment company best known for operating Churchill Downs Racetrack in Louisville, Kentucky, the home of the Kentucky Derby. The company traces its history to the opening of Churchill Downs in 1875 and has expanded its operations beyond traditional Thoroughbred racing.

Its business activities include live and historical horse racing, pari-mutuel wagering, casino gaming, video lottery and related entertainment offerings.