Churchill DownsXTER:CHR -0.66%62 Interest Coverage is 2.00 as of Mar. 2026, which is 32% below its 10-year median of 2.93. GuruFocus rates XTER:CHR with a GF Score™ of 62/100 and a GF Value™ of €137.17 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 609 Travel & Leisure companies, Churchill Downs ranks worse than 71.92% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Churchill Downs's
Operating Income
for the
three
months ended in Mar. 2026 was €125 Mil. Churchill Downs's Interest Expense for the
three
months ended in Mar. 2026 was €-62 Mil.
Churchill Downs's interest coverage for the quarter that ended in Mar. 2026 was 2.00.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Churchill Downs's Interest Coverage or its related term are showing as below:
XTER:CHR'
s Interest Coverage Range Over the Past 10 Years
Min: 0.98 Med: 2.93 Max: 4.97
Current: 2.51
XTER:CHR's Interest Coverage is ranked worse than 71.92% of 609
companies
in the Travel & Leisure industry
Industry Median: 5.31
vs XTER:CHR: 2.51
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Churchill Downs Interest Coverage Related Terms
Churchill Downs Interest Coverage Historical Data
* Premium members only.
The historical data trend for Churchill Downs's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
For the Gambling subindustry, Churchill Downs's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Churchill Downs Interest Coverage vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Churchill Downs's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Churchill Downs's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Churchill Downs (XTER:CHR) has a Interest Coverage of 2.00 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Churchill Downs and its competitors. This is 32% below median its historical median of 2.93. Over the past decade, Churchill Downs' Interest Coverage has ranged from 0.98 to 4.97. According to the industry distribution chart, Churchill Downs ranks #438 out of 609 companies in the Travel & Leisure industry, placing it in the top 71.9%.
Is Churchill Downs' Interest Coverage too high?
Churchill Downs' current Interest Coverage of 2.00 is 32% below median its 10-year median of 2.93. Over the past 10 years, this metric has ranged from a low of 0.98 to a high of 4.97. The Travel & Leisure industry median Interest Coverage is 5.31. Churchill Downs' value of 2.00 is 62.3% below this industry median. Based on the distribution chart, Churchill Downs ranks #438 out of 609 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, Churchill Downs has a GF Score™ of 62/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Churchill Downs' Interest Coverage compare to ?
According to the Travel & Leisure industry distribution chart, Churchill Downs ranks #438 out of 609 companies for Interest Coverage. This places Churchill Downs in the lower half of its industry. The industry median Interest Coverage is 5.31. Churchill Downs' value of 2.00 is 62.3% below this benchmark. Historically, Churchill Downs' own Interest Coverage has ranged from 0.98 to 4.97 over the past decade. While the company's 10-year median is 2.93 vs. the industry median of 5.31, Churchill Downs has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Travel & Leisure company?
The median Interest Coverage among Travel & Leisure companies is 5.31, based on 609 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Churchill Downs's current Interest Coverage of 2.00 is 62.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Churchill Downs and its competitors. For the Travel & Leisure industry, the median Interest Coverage is 5.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Churchill Downs's current Interest Coverage is 2.00, which is 32% below median its own 10-year median of 2.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Churchill Downs stock overvalued right now?
Based on GuruFocus' analysis, Churchill Downs (XTER:CHR) is currently considered Possible Value Trap. The stock's GF Value™ is €137.17, compared to a current price of €75.50 — trading 45% below its estimated fair value. The current Interest Coverage is 2.00, which is 32% below median its 10-year median of 2.93 and 62.3% below the Travel & Leisure industry median of 5.31. Churchill Downs' overall GF Score™ is 62/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Churchill Downs (XTER:CHR), the current Interest Coverage is 2.00 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Churchill Downs (XTER:CHR) Overvalued in 2026?
Based on GuruFocus' analysis, Churchill Downs stock appears to be undervalued.
The current stock price of €75.50 is trading 45% below its estimated GF Value™ of €137.17.
GuruFocus considers Churchill Downs to be Possible Value Trap.
Key valuation signals for XTER:CHR:
Interest Coverage: 2.00 (32% below median its 10-year median of 2.93)
GF Value™: €137.17 vs. price of €75.50 (45% below fair value)
Industry Position: 62.3% below the Travel & Leisure median (#438 of 609)
No single metric tells the full story. See the XTER:CHR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Churchill Downs Inc is a gaming entertainment, online wagering, and racing company. It operates through three business segments: Live and Historical Racing, Wagering Services, and Gaming. The Live and Historical Racing segment includes live and historical pari-mutuel racing. The Wagering Services segment includes the revenue and expenses from pari-mutuel wagers through TwinSpires, companies retail and online sports betting business and Gaming segment includes revenue and expenses for the casino properties and associated racetracks that support the casino license. The Gaming segment generates revenue and expenses from slot machines, video lottery terminals, video poker, HRMs, ancillary food and beverage services, hotel services, commission on pari-mutuel wagering, and racing events.
62GF Score
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