Churchill Downs (NASDAQ:CHDN) Reaches New 1-Year Low – Should You Sell?

Churchill Downs, Incorporated (NASDAQ:CHDN) shares hit a new 52-week low during trading on Wednesday. The stock traded as low as $73.59 and last traded at $73.88, with a volume of 577583 shares. The stock had previously closed at $78.21.

Analysts Set New Price Targets

A number of equities analysts have commented on CHDN shares. Weiss Ratings raised shares of Churchill Downs from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, September 2nd. Wolfe Research assumed coverage on shares of Churchill Downs in a research report on Wednesday, September 2nd. They issued an “outperform” rating and a $119.00 price target on the stock. Truist Financial set a $145.00 price target on shares of Churchill Downs in a report on Friday, June 12th. Citigroup reaffirmed an “outperform” rating on shares of Churchill Downs in a research report on Friday, July 31st. Finally, Citizens Jmp dropped their price objective on shares of Churchill Downs from $149.00 to $137.00 and set a “market outperform” rating on the stock in a research note on Friday, July 31st. Ten analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $134.89.

Churchill Downs Price Performance

The company has a debt-to-equity ratio of 3.06, a current ratio of 0.36 and a quick ratio of 0.36. The company has a 50-day simple moving average of $84.79 and a two-hundred day simple moving average of $87.10. The stock has a market capitalization of $5.14 billion, a price-to-earnings ratio of 12.63, a price-to-earnings-growth ratio of 0.74 and a beta of 0.77.

Churchill Downs (NASDAQ:CHDN) last announced its quarterly earnings results on Wednesday, July 29th. The company reported $3.45 earnings per share (EPS) for the quarter, meeting the consensus estimate of $3.45. The company had revenue of $980.00 million during the quarter, compared to the consensus estimate of $977.38 million. Churchill Downs had a net margin of 13.82% and a return on equity of 42.16%. The company’s revenue for the quarter was up 4.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $3.10 earnings per share. On average, equities research analysts predict that Churchill Downs, Incorporated will post 7.14 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Kimelman & Baird LLC acquired a new position in shares of Churchill Downs during the second quarter worth approximately $27,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in Churchill Downs during the 2nd quarter valued at $29,000. Root Financial Partners LLC boosted its position in Churchill Downs by 1,173.1% during the 1st quarter. Root Financial Partners LLC now owns 331 shares of the company’s stock worth $30,000 after acquiring an additional 305 shares during the period. Twin Tree Management LP acquired a new position in Churchill Downs during the 2nd quarter worth $36,000. Finally, NewEdge Advisors LLC acquired a new position in Churchill Downs during the 1st quarter worth $50,000. Institutional investors own 82.59% of the company’s stock.

About Churchill Downs

Churchill Downs Incorporated is a gaming, racing and entertainment company headquartered in Louisville, Kentucky. The company traces its origins to Churchill Downs Racetrack, which hosted the first Kentucky Derby in 1875 and remains its flagship property. Churchill Downs Incorporated operates and supports Thoroughbred racing, pari-mutuel wagering, casino gaming and related hospitality businesses.

The company’s operations include live and historical horse-racing venues, traditional casinos and historical racing-machine facilities.