Canterbury Park Holding (NasdaqGM:CPHC) - Share price, News & Analysis

Q: What is the Fair Price of CPHC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

CPHC ($20.96) is trading above our estimate of [[fair value]] ($19.35)

CPHC fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	5/6
Financial Health	6/6
Dividends	2/6

CPHC Stock Overview

Canterbury Park Holding Corporation, through its subsidiaries, engages in horse racing, card casino, food and beverage, and real estate development businesses.

Rewards

Price-To-Earnings ratio (7.9x) is below the US market (15.8x)

Earnings grew by 192.8% over the past year

Risk Analysis

No risks detected for CPHC from our risk checks.

Canterbury Park Holding Competitors

Galaxy Gaming

OTCPK:GLXZ

US$91.6m

Full House Resorts

NasdaqCM:FLL

US$259.6m

Century Casinos

NasdaqCM:CNTY

US$252.4m

Inspired Entertainment

NasdaqCM:INSE

US$329.0m

Price History & Performance

Summary of all time highs, changes and price drops for Canterbury Park Holding
Historical stock prices
Current Share Price	US$20.96
52 Week High	US$32.92
52 Week Low	US$15.14
Beta	-0.083
1 Month Change	-15.68%
3 Month Change	-26.19%
1 Year Change	37.01%
3 Year Change	62.50%
5 Year Change	83.73%
Change since IPO	759.80%

Recent News & Updates

Jul 23

We Ran A Stock Scan For Earnings Growth And Canterbury Park Holding (NASDAQ:CPHC) Passed With Ease

The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even...

Shareholder Returns

	CPHC	US Hospitality	US Market
7D	-2.5%	5.8%	3.2%
1Y	37.0%	-15.1%	-10.2%

Return vs Industry: CPHC exceeded the US Hospitality industry which returned -15.1% over the past year.

Return vs Market: CPHC exceeded the US Market which returned -10.2% over the past year.

Price Volatility

Is CPHC's price volatile compared to industry and market?
CPHC volatility
CPHC Average Weekly Movement	10.3%
Hospitality Industry Average Movement	8.6%
Market Average Movement	7.7%
10% most volatile stocks in US Market	16.9%
10% least volatile stocks in US Market	3.2%

Stable Share Price: CPHC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: CPHC's weekly volatility (10%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1994	503	Randy Sampson	https://www.canterburypark.com

Canterbury Park Holding Corporation, through its subsidiaries, engages in horse racing, card casino, food and beverage, and real estate development businesses. The company’s Horse Racing segment operates year-round simulcasting of horse races, as well as wagering on live thoroughbred and quarter horse races on a seasonal basis. Its Card Casino segment offers unbanked card games, such as poker and table games.

Canterbury Park Holding Fundamentals Summary

How do Canterbury Park Holding's earnings and revenue compare to its market cap?
CPHC fundamental statistics
Market Cap	US$101.44m
Earnings (TTM)	US$12.91m
Revenue (TTM)	US$66.71m

7.9x

P/E Ratio

1.5x

P/S Ratio

Is CPHC overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CPHC income statement (TTM)
Revenue	US$66.71m
Cost of Revenue	US$32.95m
Gross Profit	US$33.76m
Other Expenses	US$20.86m
Earnings	US$12.91m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	2.67
Gross Margin	50.61%
Net Profit Margin	19.35%
Debt/Equity Ratio	0%

How did CPHC perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

8%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is CPHC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CPHC?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for CPHC. This is calculated by dividing CPHC's market cap by their current preferred multiple.
What is CPHC's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$101.44m

CPHC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.3x
Enterprise Value/EBITDA	4x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does CPHC's PE Ratio compare to its peers?

CPHC PE Ratio vs Peers

The above table shows the PE ratio for CPHC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	28.5x
GLXZ Galaxy Gaming	45.6x	n/a	US$91.6m
FLL Full House Resorts	47.9x	51.1%	US$259.6m
CNTY Century Casinos	10.4x	12.6%	US$252.4m
INSE Inspired Entertainment	10x	16.5%	US$329.0m
CPHC Canterbury Park Holding	7.9x	n/a	US$101.4m

Price-To-Earnings vs Peers: CPHC is good value based on its Price-To-Earnings Ratio (7.9x) compared to the peer average (28.5x).

Price to Earnings Ratio vs Industry

How does CPHC's PE Ratio compare vs other companies in the US Hospitality Industry?

Price-To-Earnings vs Industry: CPHC is good value based on its Price-To-Earnings Ratio (7.9x) compared to the US Hospitality industry average (18.4x)

Price to Earnings Ratio vs Fair Ratio

What is CPHC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CPHC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	7.9x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate CPHC's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of CPHC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CPHC ($20.96) is trading above our estimate of fair value ($19.35)

Significantly Below Fair Value: CPHC is trading above our estimate of fair value.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

How is Canterbury Park Holding forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

27.9%

Forecasted Consumer Services industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Canterbury Park Holding has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Discover growth companies

Check out Canterbury Park Holding's track record over time to understand how much the company has returned to shareholders and its earnings growth rate in the past.

Past Performance

How has Canterbury Park Holding performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

21.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CPHC has high quality earnings.

Growing Profit Margin: CPHC's current net profit margins (19.3%) are higher than last year (10%).

Past Earnings Growth Analysis

Earnings Trend: CPHC's earnings have grown significantly by 21.4% per year over the past 5 years.

Accelerating Growth: CPHC's earnings growth over the past year (192.8%) exceeds its 5-year average (21.4% per year).

Earnings vs Industry: CPHC earnings growth over the past year (192.8%) exceeded the Hospitality industry 51%.

Return on Equity

High ROE: CPHC's Return on Equity (19.2%) is considered low.

Discover strong past performing companies

Financial Health

How is Canterbury Park Holding's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: CPHC's short term assets ($37.3M) exceed its short term liabilities ($19.3M).

Long Term Liabilities: CPHC's short term assets ($37.3M) exceed its long term liabilities ($9.9M).

Debt to Equity History and Analysis

Debt Level: CPHC is debt free.

Reducing Debt: CPHC had no debt 5 years ago.

Debt Coverage: CPHC has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: CPHC has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

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Dividend

What is Canterbury Park Holding current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

1.34%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CPHC's dividend (1.34%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: CPHC's dividend (1.34%) is low compared to the top 25% of dividend payers in the US market (3.95%).

Stability and Growth of Payments

Stable Dividend: CPHC has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CPHC's dividend payments have increased, but the company has only paid a dividend for 6 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (7.8%), CPHC's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (16.3%), CPHC's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

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

10.7yrs

Average management tenure

CEO

Randy Sampson (64 yo)

28.42yrs

Tenure

US$534,163

Compensation

Mr. Randall D. Sampson, also known as Randy, C.P.A., is an Independent Director at Pineapple Holdings, Inc (formerly Pineapple Energy Inc.). He Co-founded Canterbury Park Holding Corporation in 1994 and ha...

CEO Compensation Analysis

Compensation vs Market: Randy's total compensation ($USD534.16K) is about average for companies of similar size in the US market ($USD759.99K).

Compensation vs Earnings: Randy's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: CPHC's management team is seasoned and experienced (10.7 years average tenure).

Board Members

Experienced Board: CPHC's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.

Ownership

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

Insider Trading Volume

Insider Buying: Insufficient data to determine if 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.

Data	Last Updated (UTC time)
Company Analysis	2022/08/14 00:00
End of Day Share Price	2022/08/12 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31