CHURCHILL DOWNS INC (CHDN) Stock Fundamental Analysis
USA - NASDAQ:CHDN - US1714841087 - Common Stock
99.2 USD
-1.2 (-1.2%)
99.2 USD
0 (0%)
CHDN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 133 industry peers in the Hotels, Restaurants & Leisure industry. CHDN scores excellent on profitability, but there are concerns on its financial health. CHDN is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
CHDN had positive earnings in the past year.
In the past year CHDN had a positive cash flow from operations.
Of the past 5 years CHDN 4 years were profitable.
Each year in the past 5 years CHDN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CHDN (5.37%) is better than 70.68% of its industry peers.
CHDN's Return On Equity of 38.69% is amongst the best of the industry. CHDN outperforms 85.71% of its industry peers.
With a decent Return On Invested Capital value of 8.04%, CHDN is doing good in the industry, outperforming 64.66% of the companies in the same industry.
CHDN had an Average Return On Invested Capital over the past 3 years of 6.83%. This is below the industry average of 10.67%.
The 3 year average ROIC (6.83%) for CHDN is below the current ROIC(8.04%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.37% | ||
| ROE | 38.69% | ||
| ROIC | 8.04% |
ROA(3y)6.3%
ROA(5y)4.84%
ROE(3y)55.16%
ROE(5y)44.87%
ROIC(3y)6.83%
ROIC(5y)6.39%
1.3 Margins
CHDN has a Profit Margin of 13.88%. This is amongst the best in the industry. CHDN outperforms 83.46% of its industry peers.
In the last couple of years the Profit Margin of CHDN has grown nicely.
CHDN's Operating Margin of 25.14% is amongst the best of the industry. CHDN outperforms 89.47% of its industry peers.
CHDN's Operating Margin has improved in the last couple of years.
The Gross Margin of CHDN (34.10%) is worse than 71.43% of its industry peers.
In the last couple of years the Gross Margin of CHDN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.14% | ||
| PM (TTM) | 13.88% | ||
| GM | 34.1% |
OM growth 3Y10%
OM growth 5Y9.05%
PM growth 3Y-0.21%
PM growth 5Y8.43%
GM growth 3Y3.21%
GM growth 5Y1.43%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CHDN is still creating some value.
CHDN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CHDN has been reduced compared to 5 years ago.
CHDN has a better debt/assets ratio than last year.
2.2 Solvency
CHDN has an Altman-Z score of 1.51. This is a bad value and indicates that CHDN is not financially healthy and even has some risk of bankruptcy.
CHDN has a Altman-Z score of 1.51. This is comparable to the rest of the industry: CHDN outperforms 46.62% of its industry peers.
CHDN has a debt to FCF ratio of 19.26. This is a negative value and a sign of low solvency as CHDN would need 19.26 years to pay back of all of its debts.
The Debt to FCF ratio of CHDN (19.26) is comparable to the rest of the industry.
CHDN has a Debt/Equity ratio of 4.87. This is a high value indicating a heavy dependency on external financing.
CHDN has a worse Debt to Equity ratio (4.87) than 60.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.87 | ||
| Debt/FCF | 19.26 | ||
| Altman-Z | 1.51 |
ROIC/WACC1.03
WACC7.77%
2.3 Liquidity
A Current Ratio of 0.57 indicates that CHDN may have some problems paying its short term obligations.
CHDN's Current ratio of 0.57 is on the low side compared to the rest of the industry. CHDN is outperformed by 70.68% of its industry peers.
A Quick Ratio of 0.56 indicates that CHDN may have some problems paying its short term obligations.
The Quick ratio of CHDN (0.56) is worse than 67.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.64% over the past year.
The Earnings Per Share has been growing slightly by 6.77% on average over the past years.
CHDN shows a small growth in Revenue. In the last year, the Revenue has grown by 7.97%.
The Revenue has been growing by 15.51% on average over the past years. This is quite good.
EPS 1Y (TTM)5.64%
EPS 3Y-3.17%
EPS 5Y6.77%
EPS Q2Q%12.37%
Revenue 1Y (TTM)7.97%
Revenue growth 3Y19.63%
Revenue growth 5Y15.51%
Sales Q2Q%8.67%
3.2 Future
The Earnings Per Share is expected to grow by 9.99% on average over the next years. This is quite good.
CHDN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.60% yearly.
EPS Next Y4.27%
EPS Next 2Y8.49%
EPS Next 3Y9.99%
EPS Next 5YN/A
Revenue Next Year6.39%
Revenue Next 2Y5.4%
Revenue Next 3Y4.6%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.05, which indicates a correct valuation of CHDN.
74.44% of the companies in the same industry are more expensive than CHDN, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.10, CHDN is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 14.26, the valuation of CHDN can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CHDN indicates a somewhat cheap valuation: CHDN is cheaper than 74.44% of the companies listed in the same industry.
CHDN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.05 | ||
| Fwd PE | 14.26 |
4.2 Price Multiples
CHDN's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, CHDN is valued a bit cheaper than 62.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.24 | ||
| EV/EBITDA | 12.57 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CHDN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.76
PEG (5Y)2.37
EPS Next 2Y8.49%
EPS Next 3Y9.99%
5. Dividend
5.1 Amount
CHDN has a yearly dividend return of 0.44%, which is pretty low.
Compared to an average industry Dividend Yield of 4.01, CHDN pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, CHDN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
5.2 History
The dividend of CHDN is nicely growing with an annual growth rate of 7.32%!
CHDN has been paying a dividend for at least 10 years, so it has a reliable track record.
CHDN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.32%
Div Incr Years14
Div Non Decr Years23
5.3 Sustainability
CHDN pays out 7.67% of its income as dividend. This is a sustainable payout ratio.
The dividend of CHDN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP7.67%
EPS Next 2Y8.49%
EPS Next 3Y9.99%
99.2
-1.2 (-1.2%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners83.39%
Inst Owner Change-0.15%
Ins Owners5.63%
Ins Owner Change0.2%
Market Cap6.96B
Revenue(TTM)2.88B
Net Income(TTM)400.40M
Analysts84.44
Price Target139.75 (40.88%)
Short Float %3.11%
Short Ratio3.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
Yearly Dividend0.39
Dividend Growth(5Y)7.32%
DP7.67%
Div Incr Years14
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.88%
Min EPS beat(2)-0.83%
Max EPS beat(2)8.6%
EPS beat(4)2
Avg EPS beat(4)1.75%
Min EPS beat(4)-5.06%
Max EPS beat(4)8.6%
EPS beat(8)5
Avg EPS beat(8)6.19%
EPS beat(12)6
Avg EPS beat(12)2.19%
EPS beat(16)9
Avg EPS beat(16)3.85%
Revenue beat(2)0
Avg Revenue beat(2)-0.57%
Min Revenue beat(2)-0.94%
Max Revenue beat(2)-0.19%
Revenue beat(4)0
Avg Revenue beat(4)-1.03%
Min Revenue beat(4)-1.66%
Max Revenue beat(4)-0.19%
Revenue beat(8)2
Avg Revenue beat(8)-0.33%
Revenue beat(12)3
Avg Revenue beat(12)-0.6%
Revenue beat(16)4
Avg Revenue beat(16)-0.73%
PT rev (1m)0%
PT rev (3m)3.94%
EPS NQ rev (1m)-5.5%
EPS NQ rev (3m)-6.64%
EPS NY rev (1m)-2.18%
EPS NY rev (3m)-0.17%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.57%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.05 | ||
| Fwd PE | 14.26 | ||
| P/S | 2.41 | ||
| P/FCF | 26.24 | ||
| P/OCF | 8.65 | ||
| P/B | 6.72 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.57 |
EPS(TTM)6.18
EY6.23%
EPS(NY)6.96
Fwd EY7.01%
FCF(TTM)3.78
FCFY3.81%
OCF(TTM)11.47
OCFY11.56%
SpS41.13
BVpS14.76
TBVpS-33.99
PEG (NY)3.76
PEG (5Y)2.37
Graham Number45.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.37% | ||
| ROE | 38.69% | ||
| ROCE | 10.78% | ||
| ROIC | 8.04% | ||
| ROICexc | 8.26% | ||
| ROICexgc | 17.27% | ||
| OM | 25.14% | ||
| PM (TTM) | 13.88% | ||
| GM | 34.1% | ||
| FCFM | 9.19% |
ROA(3y)6.3%
ROA(5y)4.84%
ROE(3y)55.16%
ROE(5y)44.87%
ROIC(3y)6.83%
ROIC(5y)6.39%
ROICexc(3y)7%
ROICexc(5y)6.74%
ROICexgc(3y)15.35%
ROICexgc(5y)12.91%
ROCE(3y)9.16%
ROCE(5y)8.57%
ROICexgc growth 3Y5.55%
ROICexgc growth 5Y7.97%
ROICexc growth 3Y-6.37%
ROICexc growth 5Y1.4%
OM growth 3Y10%
OM growth 5Y9.05%
PM growth 3Y-0.21%
PM growth 5Y8.43%
GM growth 3Y3.21%
GM growth 5Y1.43%
F-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.87 | ||
| Debt/FCF | 19.26 | ||
| Debt/EBITDA | 5.3 | ||
| Cap/Depr | 237.68% | ||
| Cap/Sales | 18.7% | ||
| Interest Coverage | 2.47 | ||
| Cash Conversion | 84.49% | ||
| Profit Quality | 66.21% | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 1.51 |
F-Score6
WACC7.77%
ROIC/WACC1.03
Cap/Depr(3y)358.93%
Cap/Depr(5y)283.57%
Cap/Sales(3y)24.24%
Cap/Sales(5y)20.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.64%
EPS 3Y-3.17%
EPS 5Y6.77%
EPS Q2Q%12.37%
EPS Next Y4.27%
EPS Next 2Y8.49%
EPS Next 3Y9.99%
EPS Next 5YN/A
Revenue 1Y (TTM)7.97%
Revenue growth 3Y19.63%
Revenue growth 5Y15.51%
Sales Q2Q%8.67%
Revenue Next Year6.39%
Revenue Next 2Y5.4%
Revenue Next 3Y4.6%
Revenue Next 5YN/A
EBIT growth 1Y4.18%
EBIT growth 3Y31.58%
EBIT growth 5Y25.96%
EBIT Next Year65.59%
EBIT Next 3Y22.03%
EBIT Next 5YN/A
FCF growth 1Y672.57%
FCF growth 3Y-2.53%
FCF growth 5Y12.31%
OCF growth 1Y31.52%
OCF growth 3Y32.06%
OCF growth 5Y21.69%
CHURCHILL DOWNS INC / CHDN FAQ
Can you provide the ChartMill fundamental rating for CHURCHILL DOWNS INC?
ChartMill assigns a fundamental rating of 5 / 10 to CHDN.
What is the valuation status for CHDN stock?
ChartMill assigns a valuation rating of 5 / 10 to CHURCHILL DOWNS INC (CHDN). This can be considered as Fairly Valued.
Can you provide the profitability details for CHURCHILL DOWNS INC?
CHURCHILL DOWNS INC (CHDN) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for CHDN stock?
The Earnings per Share (EPS) of CHURCHILL DOWNS INC (CHDN) is expected to grow by 4.27% in the next year.
How sustainable is the dividend of CHURCHILL DOWNS INC (CHDN) stock?
The dividend rating of CHURCHILL DOWNS INC (CHDN) is 6 / 10 and the dividend payout ratio is 7.67%.