Analysts Set Churchill Downs Incorporated (NASDAQ:CHDN) Target Price at $159.38

Churchill Downs Incorporated (NASDAQ:CHDN) has been assigned a consensus rating of “Buy” from the eight ratings firms that are presently covering the stock, MarketBeat Ratings reports. Eight analysts have rated the stock with a buy rating. The average 12-month price objective among brokers that have issued ratings on the stock in the last year is $159.38.

Several research analysts have recently issued reports on the company. Wells Fargo & Company lowered their price objective on Churchill Downs from $165.00 to $158.00 and set an “overweight” rating for the company in a research note on Friday, February 21st. Stifel Nicolaus reduced their target price on Churchill Downs from $164.00 to $161.00 and set a “buy” rating for the company in a research note on Friday, February 21st. Mizuho decreased their price target on Churchill Downs from $151.00 to $148.00 and set an “outperform” rating for the company in a report on Wednesday, February 19th. StockNews.com downgraded Churchill Downs from a “hold” rating to a “sell” rating in a research report on Tuesday. Finally, JMP Securities restated a “market outperform” rating and set a $166.00 price objective on shares of Churchill Downs in a report on Thursday, January 16th.

Churchill Downs Stock Up 8.1 %

NASDAQ CHDN opened at $105.90 on Friday. The company has a 50 day moving average of $113.76 and a 200-day moving average of $127.97. The company has a market cap of $7.78 billion, a price-to-earnings ratio of 18.64, a PEG 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 1-year low of $96.67 and a 1-year high of $150.21.

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

Churchill Downs announced that its board has initiated a stock repurchase program on Wednesday, March 12th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 6.4% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors 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 paid a dividend of $0.06 per share. This represents a $0.24 dividend on an annualized basis and a dividend yield of 0.23%. Churchill Downs’s payout ratio is currently 7.04%.

Hedge Funds Weigh In On Churchill Downs

A number of large investors have recently made changes to their positions in CHDN. Blue Trust Inc. lifted its holdings in 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 purchasing an additional 103 shares in the last quarter. Wilmington Savings Fund Society FSB purchased a new stake in shares of Churchill Downs in the third quarter worth about $27,000. Fortitude Family Office LLC lifted its holdings in shares of Churchill Downs by 2,733.3% in the fourth quarter. Fortitude Family Office LLC now owns 255 shares of the company’s stock worth $34,000 after buying an additional 246 shares in the last quarter. MassMutual Private Wealth & Trust FSB boosted its position in shares of Churchill Downs by 159.1% in the first quarter. MassMutual Private Wealth & Trust FSB now owns 412 shares of the company’s stock valued at $46,000 after acquiring an additional 253 shares during the period. Finally, Central Pacific Bank Trust Division grew its stake in Churchill Downs by 39.6% during the first quarter. Central Pacific Bank Trust Division now owns 455 shares of the company’s stock valued at $51,000 after acquiring an additional 129 shares in the last quarter. 82.59% of the stock is owned by institutional investors.

About Churchill Downs

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.