Brevan Howard Capital Management LP Purchases New Holdings in Churchill Downs Incorporated (NASDAQ:CHDN)

Brevan Howard Capital Management LP bought a new position in shares of Churchill Downs Incorporated (NASDAQ:CHDN - Free Report) in the 4th quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm bought 4,575 shares of the company's stock, valued at approximately $611,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in CHDN. Blue Trust Inc. grew its stake in shares of Churchill Downs by 127.2% in the fourth quarter. Blue Trust Inc. now owns 184 shares of the company's stock valued at $25,000 after buying an additional 103 shares in the last quarter. Wilmington Savings Fund Society FSB acquired a new stake in shares of Churchill Downs in the third quarter valued at $27,000. Fortitude Family Office LLC grew its stake in shares of Churchill Downs by 2,733.3% in the fourth quarter. Fortitude Family Office LLC now owns 255 shares of the company's stock valued at $34,000 after buying an additional 246 shares in the last quarter. Eagle Bay Advisors LLC acquired a new stake in shares of Churchill Downs in the fourth quarter valued at $55,000. Finally, R Squared Ltd acquired a new stake in shares of Churchill Downs in the fourth quarter valued at $55,000. Institutional investors and hedge funds own 82.59% of the company's stock.

Churchill Downs Price Performance

CHDN traded up $0.20 during trading on Tuesday, reaching $98.36. The stock had a trading volume of 993,618 shares, compared to its average volume of 555,380. The firm has a market capitalization of $7.10 billion, a price-to-earnings ratio of 17.32, a price-to-earnings-growth 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. Churchill Downs Incorporated has a 1-year low of $85.58 and a 1-year high of $150.21. The stock has a 50 day moving average of $103.17 and a two-hundred day moving average of $121.35.

Churchill Downs (NASDAQ:CHDN - Get Free Report) last released its earnings results on Wednesday, April 23rd. The company reported $1.07 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.08 by ($0.01). The business 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%. Churchill Downs's revenue for the quarter was up 8.7% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.13 EPS. As a group, equities analysts anticipate that Churchill Downs Incorporated will post 6.92 EPS for the current fiscal year.

Churchill Downs announced that its board has authorized a stock buyback plan on Wednesday, March 12th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the company to reacquire up to 6.4% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company's board believes its shares are undervalued.

Churchill Downs Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, April 15th. Shareholders of record on Monday, March 31st were given a dividend of $0.06 per share. This represents a $0.24 annualized dividend and a yield of 0.24%. Churchill Downs's payout ratio is 7.12%.

Insiders Place Their Bets

In other news, Director R Alex Rankin purchased 2,000 shares of the firm's stock in a transaction on Monday, May 5th. The stock was bought at an average cost of $92.65 per share, for a total transaction of $185,300.00. Following the completion of the acquisition, the director now directly owns 99,012 shares of the company's stock, valued at approximately $9,173,461.80. The trade was a 2.06% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Douglas C. Grissom purchased 10,000 shares of the firm's stock in a transaction on Wednesday, May 7th. The shares were purchased at an average price of $92.77 per share, with a total value of $927,700.00. Following the completion of the acquisition, the director now directly owns 38,869 shares of the company's stock, valued at approximately $3,605,877.13. This trade represents a 34.64% increase in their ownership of the stock. The disclosure for this purchase can be found here. Company insiders own 5.34% of the company's stock.

Analysts Set New Price Targets

CHDN has been the subject of a number of research reports. Jefferies Financial Group dropped their price objective on Churchill Downs from $160.00 to $127.00 and set a "buy" rating for the company in a research note on Friday, April 25th. Susquehanna reduced their target price on Churchill Downs from $150.00 to $136.00 and set a "positive" rating for the company in a report on Tuesday, April 22nd. StockNews.com upgraded Churchill Downs from a "sell" rating to a "hold" rating in a research report on Thursday, April 24th. Barclays dropped their target price on Churchill Downs from $125.00 to $124.00 and set an "overweight" rating on the stock in a research report on Friday, April 25th. Finally, Truist Financial reduced their target price on Churchill Downs from $162.00 to $155.00 and set a "buy" rating on the stock in a research note on Wednesday, April 23rd. One equities research analyst has rated the stock with a hold rating and ten have given a buy rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target 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.