WallStSmart

Churchill Downs Incorporated (CHDN)vsSGHC Limited (SGHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Churchill Downs Incorporated generates 25% more annual revenue ($2.93B vs $2.34B). CHDN leads profitability with a 13.1% profit margin vs 9.8%. CHDN trades at a lower P/E of 16.3x. SGHC earns a higher WallStSmart Score of 56/100 (C).

CHDN

Buy

55

out of 100

Grade: C-

Growth: 5.3Profit: 7.5Value: 7.3Quality: 3.5
Piotroski: 4/9Altman Z: 1.04

SGHC

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 8.5Value: 8.3Quality: 6.8
Piotroski: 4/9Altman Z: 3.27
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CHDNSignificantly Overvalued (-163.5%)

Margin of Safety

-163.5%

Fair Value

$35.97

Current Price

$87.20

$51.23 premium

UndervaluedFair: $35.97Overvalued
SGHCUndervalued (+56.7%)

Margin of Safety

+56.7%

Fair Value

$19.66

Current Price

$10.54

$9.12 discount

UndervaluedFair: $19.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CHDN2 strengths · Avg: 9.0/10
Return on EquityProfitability
35.7%10/10

Every $100 of equity generates 36 in profit

P/E RatioValuation
16.3x8/10

Attractively priced relative to earnings

SGHC4 strengths · Avg: 9.0/10
Return on EquityProfitability
32.8%10/10

Every $100 of equity generates 33 in profit

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
23.5%8/10

Strong operational efficiency at 23.5%

Revenue GrowthGrowth
17.8%8/10

17.8% revenue growth

Areas to Watch

CHDN4 concerns · Avg: 2.3/10
PEG RatioValuation
1.574/10

Expensive relative to growth rate

EPS GrowthGrowth
-25.2%2/10

Earnings declined 25.2%

Altman Z-ScoreHealth
1.042/10

Distress zone — elevated risk

Debt/EquityHealth
4.931/10

Elevated debt levels

SGHC0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : CHDN

The strongest argument for CHDN centers on Return on Equity, P/E Ratio.

Bull Case : SGHC

The strongest argument for SGHC centers on Return on Equity, Altman Z-Score, Operating Margin. Revenue growth of 17.8% demonstrates continued momentum.

Bear Case : CHDN

The primary concerns for CHDN are PEG Ratio, EPS Growth, Altman Z-Score. Debt-to-equity of 4.93 is elevated, increasing financial risk.

Bear Case : SGHC

No major red flags identified for SGHC, but monitor valuation.

Key Dynamics to Monitor

CHDN profiles as a value stock while SGHC is a growth play — different risk/reward profiles.

SGHC carries more volatility with a beta of 1.10 — expect wider price swings.

SGHC is growing revenue faster at 17.8% — sustainability is the question.

Monitor GAMBLING industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SGHC scores higher overall (56/100 vs 55/100) and 17.8% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Churchill Downs Incorporated

CONSUMER CYCLICAL · GAMBLING · USA

Churchill Downs Incorporated is a gaming, online betting and racing entertainment company in the United States. The company is headquartered in Louisville, Kentucky.

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SGHC Limited

CONSUMER CYCLICAL · GAMBLING · USA

Super Group (SGHC) Limited is an online sports betting and gaming operator. The company is headquartered in Saint Peter Port, Guernsey.

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