Is Churchill Downs Stock a Good Investment?
Churchill Downs Investment Advice | CHDN |
- Examine Churchill Downs' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Churchill Downs' leadership team and their track record. Good management can help Churchill Downs navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Hotels, Restaurants & Leisure space and any emerging trends that could impact Churchill Downs' business and its evolving consumer preferences.
- Compare Churchill Downs' performance and market position to its competitors. Analyze how Churchill Downs is positioned in terms of product offerings, innovation, and market share.
- Check if Churchill Downs pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Churchill Downs' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Churchill Downs Incorporated stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Churchill Downs Incorporated is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Insignificant | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Churchill Downs Stock
Researching Churchill Downs' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 79.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.58. Churchill Downs recorded earning per share (EPS) of 5.53. The entity last dividend was issued on the 6th of December 2024. The firm had 2:1 split on the 22nd of May 2023.
To determine if Churchill Downs is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Churchill Downs' research are outlined below:
| Over 79.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from businesswire.com: Shaun Whites The Snow League and NBC Sports Announce Media Rights Agreement |
Churchill Downs Quarterly Liabilities And Stockholders Equity |
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Churchill Downs uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Churchill Downs Incorporated. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Churchill Downs' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 21st of February 2024 Upcoming Quarterly Report | View | |
| 24th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 21st of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Churchill Downs' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Churchill Downs' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2013-02-27 | 2012-12-31 | 0.06 | 0.05 | -0.01 | 16 | ||
2007-03-12 | 2006-12-31 | -0.04 | -0.03 | 0.01 | 25 | ||
2002-02-11 | 2001-12-31 | 0.09 | 0.1 | 0.01 | 11 | ||
2001-02-27 | 2000-12-31 | 0.05 | 0.06 | 0.01 | 20 | ||
2000-02-23 | 1999-12-31 | 0.09 | 0.1 | 0.01 | 11 | ||
1999-10-28 | 1999-09-30 | 0.03 | 0.04 | 0.01 | 33 | ||
2016-02-24 | 2015-12-31 | 0.12 | 0.14 | 0.02 | 16 | ||
2015-04-27 | 2015-03-31 | -0.05 | -0.03 | 0.02 | 40 |
Know Churchill Downs' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Churchill Downs is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Churchill Downs Incorporated backward and forwards among themselves. Churchill Downs' institutional investor refers to the entity that pools money to purchase Churchill Downs' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Citadel Advisors Llc | 2024-09-30 | 1.2 M | Ameriprise Financial Inc | 2024-06-30 | 1.1 M | William Blair Investment Management, Llc | 2024-09-30 | 1.1 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 1 M | Jennison Associates Llc | 2024-09-30 | 947.1 K | Hudson Way Capital Management Llc | 2024-09-30 | 924 K | Bank Of America Corp | 2024-06-30 | 764.3 K | Westfield Capital Management Company, Lp | 2024-09-30 | 763.6 K | Nitorum Capital, L.p. | 2024-09-30 | 642.8 K | Blackrock Inc | 2024-06-30 | 7.5 M | Vanguard Group Inc | 2024-09-30 | 6.7 M |
Churchill Downs' market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 10.43 B.Market Cap |
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Churchill Downs' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.11 | 0.07 | |
| Return On Capital Employed | 0.09 | 0.12 | |
| Return On Assets | 0.06 | 0.07 | |
| Return On Equity | 0.47 | 0.49 |
Determining Churchill Downs' profitability involves analyzing its financial statements and using various financial metrics to determine if Churchill Downs is a good buy. For example, gross profit margin measures Churchill Downs' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Churchill Downs' profitability and make more informed investment decisions.
Evaluate Churchill Downs' management efficiency
Churchill Downs has return on total asset (ROA) of 0.0625 % which means that it generated a profit of $0.0625 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.4137 %, meaning that it created $0.4137 on every $100 dollars invested by stockholders. Churchill Downs' management efficiency ratios could be used to measure how well Churchill Downs manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Churchill Downs' Return On Capital Employed is very stable compared to the past year. As of the 25th of November 2024, Return On Assets is likely to grow to 0.07, while Return On Tangible Assets are likely to drop 0.07. At this time, Churchill Downs' Other Assets are very stable compared to the past year. As of the 25th of November 2024, Intangibles To Total Assets is likely to grow to 0.50, though Net Tangible Assets are likely to grow to (2.2 B).| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 11.88 | 12.48 | |
| Tangible Book Value Per Share | (32.24) | (30.63) | |
| Enterprise Value Over EBITDA | 14.76 | 10.48 | |
| Price Book Value Ratio | 11.35 | 11.92 | |
| Enterprise Value Multiple | 14.76 | 10.48 | |
| Price Fair Value | 11.35 | 11.92 | |
| Enterprise Value | 3.7 B | 3.9 B |
Management at Churchill Downs focuses on leveraging technology and optimizing operations. We evaluate the impact of these focuses on the company's financial health and stock performance.
Dividend Yield 0.0029 | Forward Dividend Yield 0.0029 | Forward Dividend Rate 0.41 | Beta 0.957 |
Basic technical analysis of Churchill Stock
As of the 25th of November, Churchill Downs shows the Downside Deviation of 1.23, mean deviation of 1.01, and Risk Adjusted Performance of 0.0376. Churchill Downs technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.Churchill Downs' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Churchill Downs insiders, such as employees or executives, is commonly permitted as long as it does not rely on Churchill Downs' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Churchill Downs insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Churchill Downs' Outstanding Corporate Bonds
Churchill Downs issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Churchill Downs uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Churchill bonds can be classified according to their maturity, which is the date when Churchill Downs Incorporated has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Churchill Downs 55 Corp BondUS171484AG30 | View | |
| Churchill Downs 475 Corp BondUS171484AE81 | View |
Understand Churchill Downs' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Churchill Downs' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0376 | |||
| Market Risk Adjusted Performance | 0.0595 | |||
| Mean Deviation | 1.01 | |||
| Semi Deviation | 1.17 | |||
| Downside Deviation | 1.23 | |||
| Coefficient Of Variation | 2357.3 | |||
| Standard Deviation | 1.56 | |||
| Variance | 2.43 | |||
| Information Ratio | (0.04) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.19) | |||
| Sortino Ratio | (0.05) | |||
| Treynor Ratio | 0.0495 | |||
| Maximum Drawdown | 9.87 | |||
| Value At Risk | (2.15) | |||
| Potential Upside | 2.12 | |||
| Downside Variance | 1.52 | |||
| Semi Variance | 1.37 | |||
| Expected Short fall | (1.14) | |||
| Skewness | 1.81 | |||
| Kurtosis | 7.67 |
| Risk Adjusted Performance | 0.0376 | |||
| Market Risk Adjusted Performance | 0.0595 | |||
| Mean Deviation | 1.01 | |||
| Semi Deviation | 1.17 | |||
| Downside Deviation | 1.23 | |||
| Coefficient Of Variation | 2357.3 | |||
| Standard Deviation | 1.56 | |||
| Variance | 2.43 | |||
| Information Ratio | (0.04) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.19) | |||
| Sortino Ratio | (0.05) | |||
| Treynor Ratio | 0.0495 | |||
| Maximum Drawdown | 9.87 | |||
| Value At Risk | (2.15) | |||
| Potential Upside | 2.12 | |||
| Downside Variance | 1.52 | |||
| Semi Variance | 1.37 | |||
| Expected Short fall | (1.14) | |||
| Skewness | 1.81 | |||
| Kurtosis | 7.67 |
Consider Churchill Downs' intraday indicators
Churchill Downs intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Churchill Downs stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Churchill Downs Corporate Filings
F4 | 22nd of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
13A | 12th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
8K | 23rd of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 14th of March 2024 Other Reports | ViewVerify |
Churchill Stock media impact
Far too much social signal, news, headlines, and media speculation about Churchill Downs that are available to investors today. That information is available publicly through Churchill media outlets and privately through word of mouth or via Churchill internal channels. However, regardless of the origin, that massive amount of Churchill data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Churchill Downs news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Churchill Downs relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Churchill Downs' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Churchill Downs alpha.
Churchill Downs Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Churchill Downs can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Churchill Downs Historical Investor Sentiment
Investor biases related to Churchill Downs' public news can be used to forecast risks associated with an investment in Churchill. The trend in average sentiment can be used to explain how an investor holding Churchill can time the market purely based on public headlines and social activities around Churchill Downs Incorporated. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Churchill Downs' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Churchill Downs and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Churchill Downs news discussions. The higher the estimate score, the more favorable the investor's outlook on Churchill Downs.
Churchill Downs Corporate Executives
Elected by the shareholders, the Churchill Downs' board of directors comprises two types of representatives: Churchill Downs inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Churchill. The board's role is to monitor Churchill Downs' management team and ensure that shareholders' interests are well served. Churchill Downs' inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Churchill Downs' outside directors are responsible for providing unbiased perspectives on the board's policies.
| Marcia CPA | Executive CFO | Profile | |
| Nate Simon | Senior CTO | Profile |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Churchill Downs Incorporated. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in unemployment. You can also try the Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Is Hotels, Restaurants & Leisure space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Churchill Downs. If investors know Churchill will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Churchill Downs listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.089 | Dividend Share 0.382 | Earnings Share 5.53 | Revenue Per Share 35.989 | Quarterly Revenue Growth 0.098 |
The market value of Churchill Downs is measured differently than its book value, which is the value of Churchill that is recorded on the company's balance sheet. Investors also form their own opinion of Churchill Downs' value that differs from its market value or its book value, called intrinsic value, which is Churchill Downs' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Churchill Downs' market value can be influenced by many factors that don't directly affect Churchill Downs' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Churchill Downs' value and its price, as these two are different measures arrived at by various means. Investors typically determine if Churchill Downs is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Churchill Downs' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.