Is Churchill Downs, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Churchill Downs, Inc. has moved from very expensive to fair. Based on the current metrics, the company appears to be fairly valued. The P/E ratio stands at 17, the EV to EBITDA ratio is 12.68, and the PEG ratio is 1.24, indicating a reasonable valuation relative to its earnings growth prospects.
In comparison to its peers, Churchill Downs, Inc. has a P/E ratio of 16.46, which is more favorable than Madison Square Garden Sports Corp. with a P/E of -390.17, but less attractive than Cinemark Holdings, Inc. at 11.14. Notably, Churchill Downs has underperformed against the S&P 500, with a year-to-date return of -32.21% compared to the S&P 500's 13.30%, suggesting that while the stock may be fairly valued, it has struggled significantly in the current market environment.