Core Insights - Churchill Downs Incorporated (CDI) announced the 152 Spring Meet and Derby Week will take place from April 25 to June 28, 2026, featuring 44 racing days, with Derby Week running from April 25 to May 2, 2026 [1][2] Event Highlights - The 152 Kentucky Derby will be held on May 2, 2026, marking the first Sunday racing during Derby Week since 2010, with various themed events planned throughout the week [2][5] - The Kentucky Oaks will take place for the first time in primetime on May 1, 2026, with a purse of $1.5 million, while the Kentucky Derby will feature a $5 million purse [5] Venue Information - Churchill Downs Racetrack, located in Louisville, spans 175 acres and includes a one-mile dirt track and a 7/8-mile turf track, accommodating approximately 60,000 guests and 1,400 horses [4]

Group 1: ClearBridge Investments and Mid Cap Strategy - ClearBridge Mid Cap Strategy underperformed against the Russell Midcap Index, which returned 0.16% during Q4 2025, due to narrow market leadership and sentiment-driven trading [1] - Weakness in information technology and real estate holdings negatively impacted returns, while gains in select consumer discretionary stocks provided partial support [1] - The portfolio management team expressed cautious optimism for the future, citing improving clarity around policy, interest rates, and business investment as potential positive factors for active stock selection [1] Group 2: Churchill Downs Inc. Overview - Churchill Downs Inc. operates gaming, racing, and online wagering assets, including the Kentucky Derby, with a one-month return of -11.91% and a market capitalization of approximately $7.029 billion [2] - The stock price of Churchill Downs Inc. has fluctuated between $85.58 and $126.60 over the past 52 weeks, closing at around $100.23 on January 27, 2026 [2] Group 3: Performance Insights on Churchill Downs Inc. - ClearBridge Investments highlighted Churchill Downs Inc. as a new holding that advanced as operating trends normalized following earlier weaknesses related to the Kentucky Derby and softer consumer sentiment [3] - Churchill Downs Inc. was held by 45 hedge fund portfolios at the end of Q3, an increase from 43 in the previous quarter, indicating growing interest among institutional investors [4]

Core Insights - Churchill Downs Incorporated (CDI) is set to open its eighth premier historical racing entertainment venue, Marshall Yards, in Kentucky on February 25, 2026 [1][2] Company Overview - CDI has been creating entertainment experiences for over 150 years, with its most iconic asset being the Kentucky Derby [3] - The company is headquartered in Louisville, Kentucky, and has expanded through acquisitions and the operation of live and historical racing venues, online wagering businesses, and regional casino gaming properties [3] Venue Details - Marshall Yards will feature a 23,000 square foot facility with 225 historical racing machines, a sports bar, simulcast and sports wagering options, and various food and beverage offerings [2] - The venue aims to support purse funding for race meets at Oak Grove Racing, Gaming & Hotel in Oak Grove, Kentucky [2] Economic Impact - The opening of Marshall Yards is expected to create new jobs, drive tourism, and enhance the economic vitality of Marshall County and surrounding communities [3]

Core Viewpoint - Churchill Downs Incorporated (CDI) will release its fourth quarter and full year 2025 financial results on February 25, 2026, after market close, followed by a conference call on February 26, 2026, at 9 a.m. ET to discuss the results [1]. Group 1 - The financial results announcement will be accessible through a real-time webcast and participants are encouraged to register in advance for the teleconference [2]. - A replay of the conference call will be available online by noon ET on February 26, 2026 [2]. - A copy of the news release detailing the quarterly results and relevant financial information will be available on the company's website [3]. Group 2 - Churchill Downs Incorporated has a history of over 150 years in creating entertainment experiences, starting with the Kentucky Derby [4]. - The company is headquartered in Louisville, Kentucky, and has expanded through various means including acquisitions and the operation of racing entertainment venues and casino gaming properties [4].

Core Viewpoint - Churchill Downs Incorporated (CHDN) is currently considered a unique sports asset available at a slightly undervalued price following a year of a declining share price [1] Company Summary - Churchill Downs Incorporated is an American company involved in the sports industry, particularly known for its horse racing operations [1] Investment Perspective - The company is viewed as an attractive investment opportunity at the intersection of value and growth, particularly for investors interested in small-cap stocks [1]

Core Viewpoint - Churchill Downs (CHDN) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in a company's earnings picture, which is crucial for near-term stock price movements [2][4]. - An increase in earnings estimates typically leads to higher fair value for a stock, influencing institutional investors' buying and selling decisions [4]. Business Improvement Indicators - The rising earnings estimates and the Zacks rating upgrade suggest an improvement in Churchill Downs' underlying business, which could lead to a higher stock price as investors respond positively [5][10]. Earnings Estimate Revisions - Churchill Downs is projected to earn $6.25 per share for the fiscal year ending December 2025, with no year-over-year change, but the Zacks Consensus Estimate has increased by 1.9% over the past three months [8]. Zacks Rank System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong track record of performance, particularly for Zacks Rank 1 stocks, which have generated an average annual return of +25% since 1988 [7][9]. - The upgrade of Churchill Downs to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

Group 1 - The article compares two stocks in the Gaming sector: Churchill Downs (CHDN) and Take-Two Interactive (TTWO), focusing on which stock is more attractive to value investors [1] - CHDN has a Zacks Rank of 2 (Buy) indicating a stronger earnings outlook compared to TTWO, which has a Zacks Rank of 3 (Hold) [3] - Value investors analyze various traditional metrics to determine if a company is undervalued, including P/E ratio, P/S ratio, earnings yield, and cash flow per share [4] Group 2 - CHDN has a forward P/E ratio of 18.65, significantly lower than TTWO's forward P/E of 75.11, indicating a more attractive valuation for CHDN [5] - The PEG ratio for CHDN is 1.91, while TTWO's PEG ratio is 2.17, suggesting that CHDN may offer better value relative to its expected earnings growth [5] - CHDN's P/B ratio is 7.85 compared to TTWO's P/B of 13.28, further supporting CHDN's stronger valuation metrics [6] Group 3 - CHDN's improving earnings outlook contributes to its favorable position in the Zacks Rank model, making it a superior value option compared to TTWO [7]

Group 1 - The article emphasizes the importance for investors to initiate a portfolio rotation to reduce exposure to large-cap growth stocks, particularly in the tech sector, as 2025 approaches [1] - Gary Alexander, with extensive experience in covering technology companies and advising startups, provides insights into current industry themes [1] Group 2 - The article does not contain any additional relevant content regarding companies or industries [2][3]

Company Overview - Investors in Churchill Downs Incorporated (CHDN) should monitor stock movements due to significant activity in the options market, particularly the Dec. 19, 2025 $55 Call, which has shown high implied volatility [1] Implied Volatility Insights - Implied volatility indicates the market's expectations for future price movements, suggesting that investors anticipate a significant shift in the stock's price, potentially due to an upcoming event [2] Analyst Sentiment - Churchill Downs currently holds a Zacks Rank 3 (Hold) within the Gaming industry, which is in the top 33% of the Zacks Industry Rank. Over the past 60 days, one analyst has raised earnings estimates for the current quarter, while two have lowered theirs, resulting in a decrease of the Zacks Consensus Estimate from $1.05 to $0.95 per share [3] Trading Strategy Implications - The high implied volatility surrounding Churchill Downs may indicate a developing trading opportunity. Options traders often seek to sell premium on options with high implied volatility, aiming to benefit from the decay of options value if the stock does not move as much as anticipated [4]

Core Points - A class-action lawsuit has been filed by Hagens Berman against horse betting entities, alleging that they are colluding with the assistance of AI to disadvantage everyday bettors [1] Group 1 - The lawsuit claims that the use of AI by these betting entities is illegal and creates an unfair advantage [1] - The action is aimed at protecting the interests of regular bettors who may be harmed by this alleged collusion [1]