Churchill Downs (NASDAQ:CHDN) Shares Gap Down – Here’s Why

Churchill Downs Incorporated (NASDAQ:CHDN) gapped down before the market opened on Thursday . The stock had previously closed at $134.13, but opened at $130.10. Churchill Downs shares last traded at $137.21, with a volume of 66,533 shares.

Analysts Set New Price Targets

A number of equities research analysts recently weighed in on the company. JMP Securities reissued a “market outperform” rating and set a $166.00 target price on shares of Churchill Downs in a research report on Monday, October 14th. StockNews.com upgraded shares of Churchill Downs from a “sell” rating to a “hold” rating in a research report on Friday, August 2nd. Wells Fargo & Company boosted their price target on shares of Churchill Downs from $161.00 to $168.00 and gave the stock an “overweight” rating in a research note on Thursday, October 17th. Macquarie boosted their target price on Churchill Downs from $154.00 to $162.00 and gave the stock an “outperform” rating in a research report on Friday, July 26th. Finally, Truist Financial reissued a “buy” rating and issued a $166.00 target price (up from $165.00) on shares of Churchill Downs in a research note on Friday, July 26th. One investment analyst has rated the stock with a hold rating and eight have given a buy rating to the stock. According to MarketBeat, Churchill Downs has a consensus rating of “Moderate Buy” and an average target price of $161.00.

Churchill Downs Stock Performance

The stock has a 50 day moving average of $137.70 and a 200 day moving average of $135.68. The company has a market capitalization of $10.10 billion, a price-to-earnings ratio of 30.50, a price-to-earnings-growth ratio of 2.06 and a beta of 0.97. The company has a quick ratio of 0.57, a current ratio of 0.57 and a debt-to-equity ratio of 4.65.

Churchill Downs (NASDAQ:CHDN) last issued its quarterly earnings data on Wednesday, October 23rd. The company reported $0.97 earnings per share for the quarter, beating the consensus estimate of $0.96 by $0.01. The business had revenue of $628.50 million for the quarter, compared to analysts’ expectations of $627.90 million. Churchill Downs had a return on equity of 47.53% and a net margin of 15.61%. The business’s revenue was up 9.8% on a year-over-year basis. During the same period last year, the business earned $0.87 EPS. As a group, analysts predict that Churchill Downs Incorporated will post 6.13 EPS for the current year.

Institutional Investors Weigh In On Churchill Downs

Institutional investors have recently bought and sold shares of the stock. Capital International Investors lifted its position in Churchill Downs by 7.5% during the 1st quarter. Capital International Investors now owns 2,560,653 shares of the company’s stock valued at $316,881,000 after acquiring an additional 177,900 shares during the period. William Blair Investment Management LLC bought a new stake in Churchill Downs in the 2nd quarter worth approximately $125,418,000. Jennison Associates LLC boosted its holdings in shares of Churchill Downs by 5.6% in the 1st quarter. Jennison Associates LLC now owns 847,847 shares of the company’s stock worth $104,921,000 after purchasing an additional 44,773 shares during the period. Boston Partners grew its stake in shares of Churchill Downs by 4.4% during the first quarter. Boston Partners now owns 846,151 shares of the company’s stock valued at $104,723,000 after buying an additional 35,587 shares during the last quarter. Finally, Bank of New York Mellon Corp grew its stake in Churchill Downs by 0.6% in the 2nd quarter. Bank of New York Mellon Corp now owns 634,319 shares of the company’s stock worth $88,551,000 after acquiring an additional 3,608 shares in the last quarter. 82.59% of the stock is currently owned by hedge funds and other institutional investors.

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; casino gaming; and Terre Haute Casino Resort.