Churchill Downs (NASDAQ:CHDN) Stock Price Expected to Rise, Mizuho Analyst Says

Churchill Downs (NASDAQ:CHDN) had its target price upped by equities research analysts at Mizuho from $146.00 to $155.00 in a research note issued on Friday,Benzinga reports. The firm presently has an “outperform” rating on the stock. Mizuho’s price objective indicates a potential upside of 52.63% from the company’s current price.

A number of other analysts have also weighed in on CHDN. Citigroup restated an “outperform” rating on shares of Churchill Downs in a research note on Friday. Citizens Jmp upped their target price on shares of Churchill Downs from $146.00 to $149.00 and gave the stock a “market outperform” rating in a research note on Friday. Jefferies Financial Group restated a “buy” rating on shares of Churchill Downs in a research note on Tuesday. Finally, Wells Fargo & Company restated an “overweight” rating and set a $130.00 target price (up from $124.00) on shares of Churchill Downs in a research note on Thursday, April 16th. Eleven investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $139.00.

Churchill Downs Stock Up 3.7%

CHDN stock opened at $101.55 on Friday. The company’s 50 day moving average price is $89.51 and its 200 day moving average price is $98.83. The company has a debt-to-equity ratio of 4.44, a quick ratio of 0.60 and a current ratio of 0.54. Churchill Downs has a fifty-two week low of $80.24 and a fifty-two week high of $118.46. The firm has a market capitalization of $7.08 billion, a price-to-earnings ratio of 18.81, a PEG ratio of 1.47 and a beta of 0.65.

Churchill Downs (NASDAQ:CHDN) last released its earnings results on Wednesday, April 22nd. The company reported $1.21 earnings per share for the quarter, topping analysts’ consensus estimates of $1.06 by $0.15. Churchill Downs had a net margin of 13.21% and a return on equity of 43.50%. The firm had revenue of $663.00 million for the quarter, compared to analyst estimates of $659.32 million. During the same period in the prior year, the firm earned $1.07 earnings per share. The business’s quarterly revenue was up 3.1% compared to the same quarter last year. On average, equities research analysts anticipate that Churchill Downs will post 6.88 EPS for the current fiscal year.

Hedge Funds Weigh In On Churchill Downs

Several hedge funds have recently added to or reduced their stakes in CHDN. AQR Capital Management LLC increased its stake in Churchill Downs by 29.8% in the first quarter. AQR Capital Management LLC now owns 3,415 shares of the company’s stock valued at $373,000 after purchasing an additional 784 shares during the last quarter. Goldman Sachs Group Inc. increased its stake in Churchill Downs by 33.5% in the first quarter. Goldman Sachs Group Inc. now owns 483,252 shares of the company’s stock valued at $53,675,000 after purchasing an additional 121,204 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Churchill Downs by 7.2% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 225,800 shares of the company’s stock valued at $25,080,000 after purchasing an additional 15,161 shares during the last quarter. Geneos Wealth Management Inc. increased its stake in Churchill Downs by 1,364.7% in the first quarter. Geneos Wealth Management Inc. now owns 249 shares of the company’s stock valued at $28,000 after purchasing an additional 232 shares during the last quarter. Finally, Sivia Capital Partners LLC purchased a new position in Churchill Downs in the second quarter valued at approximately $229,000. 82.59% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Churchill Downs

Here are the key news stories impacting Churchill Downs this week:

• Positive Sentiment: Q1 beat — CHDN reported $1.21 EPS vs. consensus ~$1.06 and revenue roughly in line/ slightly above estimates; revenue rose year-over-year, supporting the upside reaction to results. Read More.
• Positive Sentiment: Analyst price-target lifts — Mizuho bumped its target to $155 (outperform) and Citizens Jmp raised theirs to $149, both implying substantial upside and likely contributing to buying interest. Read More.
• Positive Sentiment: Strategic acquisition — Churchill Downs is acquiring IP rights to the Preakness Stakes for $85M, expanding its control of marquee racing content and creating new licensing/monetization opportunities beyond the Kentucky Derby. Read More.
• Positive Sentiment: Market narrative shift — recent coverage highlights growth in non-Derby revenue streams (HRM growth) and management’s “bet on growth” after a record quarter, supporting a re-rating of the stock. Read More.
• Neutral Sentiment: Investor materials available — the company’s Q1 earnings call transcript and summaries are published for those wanting detail on guidance, margin drivers and segment performance; useful for modeling but not new headlines. Read More.
• Neutral Sentiment: Short-interest data appears anomalous (reported as zero / NaN change) and is not a meaningful signal for today’s move. No clear increase in visible short pressure. (Data entry: short interest report)

Churchill Downs Company Profile

Churchill Downs Incorporated is a leading American entertainment and gaming company best known for operating the Churchill Downs racetrack in Louisville, Kentucky, home of the annual Kentucky Derby. Beyond its signature thoroughbred racing venue, the company manages a diversified portfolio of live racing facilities, casinos, and off-track betting operations. Its services encompass pari-mutuel wagering, historical horse racing machines, and online betting through its TwinSpires platform, reaching horse racing and sports betting enthusiasts nationwide.

In its live racing segment, Churchill Downs oversees a network of racetracks and racing festivals, offering year-round events in multiple states.