Churchill Downs (NASDAQ:CHDN) Shares Up 5.2% Following Better-Than-Expected Earnings

Churchill Downs Incorporated (NASDAQ:CHDN)’s stock price traded up 5.2% during trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $145.44 and last traded at $144.39. 132,611 shares were traded during mid-day trading, a decline of 70% from the average session volume of 440,310 shares. The stock had previously closed at $137.25.

The company reported $2.89 earnings per share for the quarter, topping the consensus estimate of $2.71 by $0.18. The company had revenue of $890.70 million during the quarter, compared to analysts’ expectations of $858.59 million. Churchill Downs had a return on equity of 44.99% and a net margin of 13.72%. Churchill Downs’s revenue for the quarter was up 15.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.24 earnings per share.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on CHDN. JMP Securities increased their target price on shares of Churchill Downs from $156.00 to $158.00 and gave the stock a “market outperform” rating in a report on Wednesday, July 17th. StockNews.com raised shares of Churchill Downs from a “sell” rating to a “hold” rating in a research note on Wednesday, May 15th. Mizuho boosted their price target on Churchill Downs from $142.00 to $143.00 and gave the stock a “buy” rating in a report on Friday, April 26th. Truist Financial raised their target price on shares of Churchill Downs from $145.00 to $165.00 and gave the company a “buy” rating in a research note on Thursday, July 18th. Finally, Wells Fargo & Company increased their price objective on Churchill Downs from $145.00 to $150.00 and gave the company an “overweight” rating in a report on Tuesday, July 16th. One investment analyst has rated the stock with a hold rating and nine have issued a buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $151.11.

Insider Activity at Churchill Downs

In other news, Director Paul C. Varga purchased 3,800 shares of the stock in a transaction on Monday, April 29th. The stock was bought at an average price of $130.22 per share, with a total value of $494,836.00. Following the transaction, the director now owns 28,902 shares in the company, valued at approximately $3,763,618.44. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 5.13% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of CHDN. Silvant Capital Management LLC acquired a new position in Churchill Downs in the 2nd quarter worth approximately $2,016,000. RPS Advisory Solutions LLC purchased a new stake in shares of Churchill Downs in the 2nd quarter valued at $649,000. Argent Capital Management LLC purchased a new position in shares of Churchill Downs during the second quarter worth $2,658,000. First Horizon Advisors Inc. lifted its position in Churchill Downs by 13.8% during the second quarter. First Horizon Advisors Inc. now owns 818 shares of the company’s stock valued at $114,000 after purchasing an additional 99 shares during the period. Finally, Nisa Investment Advisors LLC boosted its stake in shares of Churchill Downs by 1.5% in the second quarter. Nisa Investment Advisors LLC now owns 7,065 shares of the company’s stock worth $986,000 after buying an additional 105 shares during the last quarter. 82.59% of the stock is currently owned by hedge funds and other institutional investors.

Churchill Downs Stock Up 2.4 %

The company has a debt-to-equity ratio of 5.88, a quick ratio of 0.50 and a current ratio of 0.50. The firm has a market cap of $10.33 billion, a price-to-earnings ratio of 30.57, a PEG ratio of 3.13 and a beta of 0.97. The business’s 50 day moving average price is $137.26 and its 200 day moving average price is $127.91.

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; and casino gaming.