Canterbury Park Holding (CPHC) AI Stock Analysis

• Market Cap: $80.49M
• Dividend Yield: 1.85%
• Average Volume (3M): 1.86K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.10
• Revenue Growth: -4.85%
• EPS Growth: -129.08%
• Country: US
• Employees: 226
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): -0.08
• Shares Outstanding: 5,123,785
• 10 Day Avg. Volume: 709
• 30 Day Avg. Volume: 1,859
• PEG Ratio: 1.19
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 1.31
• P/FCF Ratio: 16.27
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 1.09
• Enterprise Value/Gross Profit: 1.74
• Enterprise Value/Ebitda: 10.61
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: $17.00 ▲(12.81% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is primarily supported by a very conservative balance sheet and generally positive operating cash flow, but is held back by the 2025 profitability deterioration (net loss and weaker margins). Technicals are neutral-to-slightly positive, while valuation is constrained by negative earnings despite a modest dividend yield.

Positive Factors

Conservative balance sheet

Extremely low debt and stable equity materially reduce financial risk and interest burden, giving the company durable financial flexibility. This conservatism supports survival through earnings volatility, enables opportunistic investment or development, and preserves capacity for shareholder returns.

Positive operating cash flow

Consistent positive operating cash flow—even in a loss year—indicates the core gaming and on-site businesses generate real cash. That persistent cash generation helps fund capital needs, support dividends or development projects, and cushions the business against cyclical earnings swings.

Diversified gaming & on-site revenue mix

A multi-headed revenue model (table games, pari-mutuel wagering, F&B, events, plus occasional real estate upside) reduces single-source risk. Gaming-driven foot traffic leverages ancillary spend, creating durable, correlated revenue streams that support margin recovery when volumes normalize.

Negative Factors

2025 profitability deterioration

A turn to a net loss and compressed margins in 2025 signals structural pressure on profitability. If persistent, this undermines return on capital, may force austerity on marketing and experience investments, and constrains the company's ability to rebuild margins without clear demand or cost improvements.

Inconsistent free cash flow

Volatile free cash flow reduces the predictability of funding for discretionary projects, dividends, or development. Inconsistent FCF raises execution risk for longer-term initiatives and can force reliance on balance-sheet buffers or restrained capital allocation in weaker periods.

Revenue volatility / recent decline

Declining and erratic top-line trends complicate margin recovery and strategic planning. Lower and unpredictable revenue limits operating leverage, reduces scale benefits for gaming operations, and makes restoring prior profitability levels more uncertain absent sustainable demand improvement.

Canterbury Park Holding Business Overview & Revenue Model

Company Description

Canterbury Park Holding Corporation, through its subsidiaries, engages in horse racing, card casino, food and beverage, and real estate development businesses. The company's Horse Racing segment operates year-round simulcasting of horse races, as well as wagering on live thoroughbred and quarter horse races on a seasonal basis. Its Card Casino segment offers unbanked card games, such as poker and table games. The company's Food and Beverage segment operates concession stands, restaurants and buffets, bars, and other food venues, as well as café style restaurants and full-service bars within the Card Casino and simulcast area. This segment also provides lounge services along with a buffet restaurant; various concession style food and beverages during live racing; and catering and events services. Its Development segment engages in various development opportunities, such as residential development, office, restaurants, hotel, entertainment, and retail operations. The company is also involved in the provision of related services and activities, such as parking, advertising signage, publication sales, and other entertainment events and activities. Canterbury Park Holding Corporation was founded in 1994 and is based in Shakopee, Minnesota.

How the Company Makes Money

CPHC generates revenue primarily from (1) casino-style gaming, (2) horse racing and simulcasting, and (3) ancillary on-site spending tied to guests. 1) Casino-style gaming (largest driver): The company earns money from its card-based table games by retaining a “house” revenue component associated with game play (commonly realized through wager-related fees/collections and other amounts the house retains from table activity). This stream scales with customer visitation, time spent gaming, table capacity, and win/hold dynamics. 2) Horse racing and simulcast wagering: During live race meets, CPHC earns commissions and fees from pari-mutuel wagering (the “takeout” or a share of wagering pools) as well as related racing revenues tied to hosting live racing. Outside of live racing days, the company also offers simulcast wagering (broadcast races from other tracks), generating commissions/fees based on amounts wagered through its facility. 3) Food, beverage, admissions, and other entertainment/event revenue: The company monetizes guest traffic through on-site dining and concessions, beverage sales, admissions/entry fees where applicable, and hosting events/entertainment offerings. These revenues are typically correlated with overall visitation levels driven by gaming and racing. 4) Other/real estate-related: If and when applicable, the company may earn income from real estate-related activity associated with its property (e.g., development-related proceeds or rents). Specific amounts and structures vary by project and period; if no active projects or disclosed amounts are available, this contribution may be limited.

Canterbury Park Holding Financial Statement Overview

Summary

Strong balance-sheet resilience (very low debt and stable equity) and generally positive operating cash flow, but profitability weakened materially in 2025 with a net loss and sharply lower margins, alongside choppy free-cash-flow consistency.

Income Statement

Revenue has been volatile: a sharp rebound in 2021, steady results in 2022–2024, then a modest decline in 2025 despite a high reported growth rate. Profitability has clearly weakened versus prior years—2025 swung to a net loss and gross margin fell sharply from the very high levels seen in 2021–2024, while operating profitability also compressed meaningfully. Strengths are the company’s history of strong margins and solid profitability in 2021–2024; the key weakness is the 2025 deterioration (loss-making with thinner margins), which raises questions about earnings durability.

Balance Sheet

The balance sheet is very conservatively financed with extremely low debt relative to equity across all periods, which materially reduces financial risk and interest burden. Equity has remained large and stable, supporting resilience through weaker earnings years. The main drawback is that returns on shareholder capital have dropped sharply in 2025 (negative), reflecting the earnings decline rather than balance-sheet stress.

Cash Flow

Operating cash flow has generally been positive and improved in 2025 versus 2024, which is a constructive sign of underlying cash generation even in a loss year. However, free cash flow has been inconsistent: negative in 2024, positive in 2025, and the growth rate is highly volatile, suggesting uneven conversion of profits into discretionary cash. A further watch item is that cash flow coverage versus reported earnings is not consistently strong across years, indicating periods where earnings quality/cash conversion may be weaker.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	59.57M	61.56M	61.44M	66.82M	60.40M
Gross Profit	17.08M	48.52M	48.80M	52.94M	47.86M
EBITDA	6.52M	8.37M	8.31M	14.02M	20.36M
Net Income	-529.43K	2.11M	10.56M	7.51M	11.80M
Balance Sheet
Total Assets	113.40M	109.92M	104.68M	92.28M	83.06M
Cash, Cash Equivalents and Short-Term Investments	20.82M	15.08M	26.94M	17.99M	11.87M
Total Debt	117.18K	177.81K	62.40K	18.97K	68.82K
Total Liabilities	29.52M	25.83M	22.88M	21.09M	18.71M
Stockholders Equity	83.88M	84.09M	81.80M	71.19M	64.35M
Cash Flow
Free Cash Flow	4.80M	-5.46M	3.63M	6.22M	9.72M
Operating Cash Flow	8.90M	6.52M	11.54M	11.22M	13.50M
Investing Cash Flow	-5.45M	-17.39M	-455.35K	-9.27M	-2.50M
Financing Cash Flow	-1.31M	-1.29M	-1.35M	-1.44M	130.46K

Canterbury Park Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.07
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPHC, the sentiment is Positive. The current price of 15.07 is below the 20-day moving average (MA) of 15.59, below the 50-day MA of 15.52, and below the 200-day MA of 16.42, indicating a neutral trend. The MACD of 0.04 indicates Negative momentum. The RSI at 53.20 is Neutral, neither overbought nor oversold. The STOCH value of 76.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CPHC.

Canterbury Park Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPHC	64 Neutral	$80.49M	-147.52	-0.63%	1.85%	-4.85%	-129.08%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
FLL	56 Neutral	$93.19M	-2.34	-25.10%	―	7.45%	5.03%
GDEN	56 Neutral	$730.19M	-118.26	-1.37%	3.71%	-12.25%	-84.89%
INSE	53 Neutral	$184.82M	―	184.28%	―	4.03%	―
ROLR	48 Neutral	$41.82M	25.19	12.75%	―	3.80%	59.04%
CNTY	45 Neutral	$39.16M	-0.65	155.17%	―	-1.57%	-80.41%