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CHDN

Churchill DownsNasdaqGS:CHDN Stock Report

Market Cap

US$9.7b

7D

0.3%

1Y

47.2%

Updated

23 Oct, 2021

Data

Company Financials +
CHDN fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance2/6
Financial Health2/6
Dividends0/6

CHDN Overview

Churchill Downs Incorporated operates as a racing, online wagering, and gaming entertainment company in the United States.

Churchill Downs Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Churchill Downs
Historical stock prices
Current Share PriceUS$254.90
52 Week HighUS$147.06
52 Week LowUS$262.20
Beta1.25
1 Month Change7.10%
3 Month Change34.87%
1 Year Change47.16%
3 Year Change206.20%
5 Year Change464.44%
Change since IPO6,272.50%

Recent News & Updates

Aug 16
Estimating The Intrinsic Value Of Churchill Downs Incorporated (NASDAQ:CHDN)

Estimating The Intrinsic Value Of Churchill Downs Incorporated (NASDAQ:CHDN)

How far off is Churchill Downs Incorporated ( NASDAQ:CHDN ) from its intrinsic value? Using the most recent financial...

Jul 29
What Is Churchill Downs Incorporated's (NASDAQ:CHDN) Share Price Doing?

What Is Churchill Downs Incorporated's (NASDAQ:CHDN) Share Price Doing?

Churchill Downs Incorporated ( NASDAQ:CHDN ), might not be a large cap stock, but it saw significant share price...

Shareholder Returns

CHDNUS HospitalityUS Market
7D0.3%-2.6%1.7%
1Y47.2%29.1%30.3%

Return vs Industry: CHDN exceeded the US Hospitality industry which returned 29.1% over the past year.

Return vs Market: CHDN exceeded the US Market which returned 30.3% over the past year.

Price Volatility

Is CHDN's price volatile compared to industry and market?
CHDN volatility
CHDN Beta1.25
Industry Beta1.67
Market Beta1

Stable Share Price: CHDN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: CHDN's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18755,500Bill Carstanjenhttps://www.churchilldownsincorporated.com

Churchill Downs Incorporated operates as a racing, online wagering, and gaming entertainment company in the United States. It operates through three segments: Churchill Downs, Online Wagering, and Gaming. As of March 18, 2021, the company owned and operated three pari-mutuel gaming entertainment venues with approximately 3,050 historical racing machines (HRMs) in Kentucky; TwinSpires, an online wagering platform for horse racing, sports, and iGaming; seven retail sportsbooks; and casino gaming in eight states with approximately 11,000 slot machines and video lottery terminals, and 200 table games.

Churchill Downs Fundamentals Summary

How do Churchill Downs's earnings and revenue compare to its market cap?
CHDN fundamental statistics
Market CapUS$9.68b
Earnings (TTM)US$204.00m
Revenue (TTM)US$1.46b

47.5x

P/E Ratio

6.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CHDN income statement (TTM)
RevenueUS$1.46b
Cost of RevenueUS$1.06b
Gross ProfitUS$398.00m
ExpensesUS$194.00m
EarningsUS$204.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 27, 2021

Earnings per share (EPS)5.37
Gross Margin27.35%
Net Profit Margin14.02%
Debt/Equity Ratio620.7%

How did CHDN perform over the long term?

See historical performance and comparison

Dividends

0.2%

Current Dividend Yield

12%

Payout Ratio

Valuation

Is Churchill Downs undervalued compared to its fair value and its price relative to the market?

43.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CHDN ($254.9) is trading below our estimate of fair value ($448.03)

Significantly Below Fair Value: CHDN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CHDN is poor value based on its PE Ratio (47.5x) compared to the US Hospitality industry average (27.1x).

PE vs Market: CHDN is poor value based on its PE Ratio (47.5x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: CHDN is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: CHDN is overvalued based on its PB Ratio (30.5x) compared to the US Hospitality industry average (3.7x).


Future Growth

How is Churchill Downs forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

21.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CHDN's forecast earnings growth (21.9% per year) is above the savings rate (2%).

Earnings vs Market: CHDN's earnings (21.9% per year) are forecast to grow faster than the US market (14.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CHDN's revenue (11.6% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: CHDN's revenue (11.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CHDN's Return on Equity is forecast to be very high in 3 years time (56.9%).


Past Performance

How has Churchill Downs performed over the past 5 years?

-3.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CHDN has high quality earnings.

Growing Profit Margin: CHDN became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CHDN's earnings have declined by 3.9% per year over the past 5 years.

Accelerating Growth: CHDN has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CHDN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Hospitality industry (81.9%).


Return on Equity

High ROE: Whilst CHDN's Return on Equity (64.24%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Churchill Downs's financial position?


Financial Position Analysis

Short Term Liabilities: CHDN's short term assets ($532.6M) exceed its short term liabilities ($369.5M).

Long Term Liabilities: CHDN's short term assets ($532.6M) do not cover its long term liabilities ($2.3B).


Debt to Equity History and Analysis

Debt Level: CHDN's debt to equity ratio (620.7%) is considered high.

Reducing Debt: CHDN's debt to equity ratio has increased from 136.1% to 620.7% over the past 5 years.

Debt Coverage: CHDN's debt is not well covered by operating cash flow (14%).

Interest Coverage: CHDN's interest payments on its debt are well covered by EBIT (3.3x coverage).


Balance Sheet


Dividend

What is Churchill Downs's current dividend yield, its reliability and sustainability?

0.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CHDN's dividend (0.24%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.29%).

High Dividend: CHDN's dividend (0.24%) is low compared to the top 25% of dividend payers in the US market (3.47%).


Stability and Growth of Payments

Stable Dividend: CHDN is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: CHDN is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: CHDN is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CHDN's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.6yrs

Average management tenure


CEO

Bill Carstanjen (53 yo)

7.17yrs

Tenure

US$10,491,139

Compensation

Mr. William C. Carstanjen, also known as Bill, has been the Chief Executive Officer of Churchill Downs Incorporated since August 2014. He also serves as Board Director at Glenview Trust Company. Mr. Carsta...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD10.49M) is about average for companies of similar size in the US market ($USD11.15M).

Compensation vs Earnings: Bill's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CHDN's management team is seasoned and experienced (6.6 years average tenure).


Board Members

Experienced Board: CHDN's board of directors are considered experienced (8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CHDN insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Churchill Downs Incorporated's employee growth, exchange listings and data sources


Key Information

  • Name: Churchill Downs Incorporated
  • Ticker: CHDN
  • Exchange: NasdaqGS
  • Founded: 1875
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: US$9.682b
  • Shares outstanding: 37.98m
  • Website: https://www.churchilldownsincorporated.com

Number of Employees


Location

  • Churchill Downs Incorporated
  • 600 North Hurstbourne Parkway
  • Suite 400
  • Louisville
  • Kentucky
  • 40222
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/23 22:11
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.