Churchill Downs (NASDAQ:CHDN) Cut to Sell at StockNews.com

StockNews.com downgraded shares of Churchill Downs (NASDAQ:CHDN) from a hold rating to a sell rating in a research report released on Tuesday.

Other equities analysts have also recently issued reports about the stock. JMP Securities reaffirmed a “market outperform” rating and set a $166.00 price target on shares of Churchill Downs in a research note on Thursday, January 16th. Stifel Nicolaus decreased their target price on shares of Churchill Downs from $164.00 to $161.00 and set a “buy” rating for the company in a research report on Friday, February 21st. Wells Fargo & Company cut their price target on shares of Churchill Downs from $165.00 to $158.00 and set an “overweight” rating on the stock in a research report on Friday, February 21st. Finally, Mizuho decreased their price objective on Churchill Downs from $151.00 to $148.00 and set an “outperform” rating for the company in a report on Wednesday, February 19th. One analyst has rated the stock with a sell rating and eight have assigned a buy rating to the company’s stock. Based on data from MarketBeat, Churchill Downs currently has a consensus rating of “Moderate Buy” and an average price target of $157.00.

Churchill Downs Trading Down 3.3 %

CHDN opened at $102.41 on Tuesday. The firm’s fifty day simple moving average is $113.35 and its 200 day simple moving average is $127.76. The stock has a market capitalization of $7.53 billion, a P/E ratio of 18.03, a P/E/G ratio of 2.95 and a beta of 0.86. The company has a current ratio of 0.57, a quick ratio of 0.55 and a debt-to-equity ratio of 4.47. Churchill Downs has a 12 month low of $96.67 and a 12 month high of $150.21.

Churchill Downs (NASDAQ:CHDN) last issued its quarterly earnings results on Wednesday, February 19th. The company reported $0.92 EPS for the quarter, missing analysts’ consensus estimates of $0.98 by ($0.06). The firm had revenue of $624.20 million during the quarter, compared to the consensus estimate of $620.21 million. Churchill Downs had a net margin of 15.61% and a return on equity of 43.67%. As a group, research analysts anticipate that Churchill Downs will post 6.92 EPS for the current fiscal year.

Churchill Downs announced that its board has initiated a share buyback plan on Wednesday, March 12th that allows the company to repurchase $500.00 million in shares. This repurchase authorization allows the company to repurchase up to 6.4% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s leadership believes its stock is undervalued.

Churchill Downs Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 15th. Investors of record on Monday, March 31st will be issued a dividend of $0.06 per share. This represents a $0.24 dividend on an annualized basis and a yield of 0.23%. Churchill Downs’s payout ratio is currently 7.04%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Louisiana State Employees Retirement System lifted its holdings in Churchill Downs by 0.5% during the 4th quarter. Louisiana State Employees Retirement System now owns 20,400 shares of the company’s stock valued at $2,724,000 after purchasing an additional 100 shares during the last quarter. Utah Retirement Systems raised its position in shares of Churchill Downs by 2.7% in the fourth quarter. Utah Retirement Systems now owns 3,800 shares of the company’s stock valued at $507,000 after purchasing an additional 100 shares during the period. Blue Trust Inc. lifted its stake in shares of Churchill Downs by 127.2% during the 4th quarter. Blue Trust Inc. now owns 184 shares of the company’s stock worth $25,000 after buying an additional 103 shares during the last quarter. Arizona State Retirement System boosted its holdings in shares of Churchill Downs by 0.6% during the 4th quarter. Arizona State Retirement System now owns 19,165 shares of the company’s stock worth $2,559,000 after buying an additional 116 shares during the period. Finally, CIBC Asset Management Inc grew its stake in Churchill Downs by 5.6% in the 4th quarter. CIBC Asset Management Inc now owns 2,252 shares of the company’s stock valued at $301,000 after buying an additional 120 shares during the last quarter. 82.59% of the stock is currently owned by institutional investors.

Churchill Downs Company Profile

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.