Churchill Downs (NASDAQ:CHDN) Sets New 1-Year Low - Time to Sell?

Key Points

• Churchill Downs shares fell to a new 52-week low of $78.76, below their 50-day and 200-day moving averages, with the stock last trading near $78.89.
• Despite the decline, Wall Street remains positive: 10 analysts rate the stock Buy and one rates it Hold, with a consensus “Moderate Buy” rating and an average price target of $134.89.
• The company met quarterly EPS expectations at $3.45 and reported 4.9% year-over-year revenue growth to $980 million; institutional investors own 82.59% of outstanding shares.

Churchill Downs, Incorporated (NASDAQ:CHDN - Get Free Report)'s share price reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $78.76 and last traded at $78.8880, with a volume of 35354 shares traded. The stock had previously closed at $79.49.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on CHDN shares. Susquehanna upped their price objective on shares of Churchill Downs from $121.00 to $124.00 and gave the company a "positive" rating in a research note on Friday, July 31st. Wolfe Research assumed coverage on shares of Churchill Downs in a report on Wednesday, September 2nd. They issued an "outperform" rating and a $119.00 target price on the stock. Jefferies Financial Group reiterated a "buy" rating on shares of Churchill Downs in a report on Thursday, July 2nd. Citigroup reaffirmed an "outperform" rating on shares of Churchill Downs in a research report on Friday, July 31st. Finally, Truist Financial set a $145.00 target price on Churchill Downs in a research report on Friday, June 12th. Ten equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $134.89.

Churchill Downs Stock Up 0.2%

The company has a market capitalization of $5.55 billion, a P/E ratio of 13.67, a PEG ratio of 0.78 and a beta of 0.67. The company has a debt-to-equity ratio of 3.06, a quick ratio of 0.36 and a current ratio of 0.36. The stock has a 50 day moving average price of $86.35 and a 200 day moving average price of $87.69.

Churchill Downs (NASDAQ:CHDN - Get Free Report) last released its earnings results on Wednesday, July 29th. The company reported $3.45 earnings per share for the quarter, meeting analysts' consensus estimates of $3.45. Churchill Downs had a net margin of 13.82% and a return on equity of 42.16%. The firm had revenue of $980.00 million during the quarter, compared to the consensus estimate of $977.38 million. During the same period in the prior year, the firm earned $3.10 EPS. The company's revenue was up 4.9% compared to the same quarter last year. Equities research analysts forecast that Churchill Downs, Incorporated will post 7.14 earnings per share for the current fiscal year.

Institutional Trading of Churchill Downs

A number of institutional investors have recently modified their holdings of the business. Engineers Gate Manager LP lifted its holdings in shares of Churchill Downs by 118.8% during the 2nd quarter. Engineers Gate Manager LP now owns 54,890 shares of the company's stock worth $4,920,000 after acquiring an additional 29,807 shares during the last quarter. BlackRock Inc. bought a new position in Churchill Downs during the 2nd quarter worth approximately $555,948,000. First Trust Advisors LP increased its stake in shares of Churchill Downs by 178.9% in the first quarter. First Trust Advisors LP now owns 76,395 shares of the company's stock worth $6,863,000 after buying an additional 49,002 shares during the period. Aurora Investment Counsel purchased a new position in shares of Churchill Downs in the second quarter valued at about $2,265,000. Finally, Commerce Bank purchased a new position in shares of Churchill Downs during the second quarter valued at approximately $604,000. 82.59% of the stock is currently owned by hedge funds and other institutional investors.

Churchill Downs Company Profile

Churchill Downs Incorporated is a gaming, entertainment and racing company headquartered in Louisville, Kentucky. The company owns and operates Churchill Downs Racetrack, home of the Kentucky Derby, as well as other thoroughbred racing venues, casinos, racinos and historical horse racing facilities.

Its operations include live and historical horse racing, casino gaming, video lottery and other gaming activities, hospitality, dining and entertainment. Through its TwinSpires business, Churchill Downs also provides online horse-racing wagering and related digital betting services in jurisdictions where such activities are permitted.

Founded in 1875, Churchill Downs has expanded from its namesake racetrack into a diversified gaming and entertainment company.

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