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The Kentucky Derby, probably the most famous horse race in the world, will be held on May 1, in Louisville, Kentucky. It is the first segment of the Triple Crown of Thoroughbred Racing and will be followed by the Preakness Stakes and the Belmont Stakes.

The Kentucky Derby is hosted by Churchill Downs Inc. (NASDAQ:CHDN), the holding company of the Churchill Downs Racetrack that originally opened in 1875. It also owns Arlington Park, the Calder Race Course, the Fair Grounds Race Course, and the Trackside Off-Track-Betting Facilities. The stock has a forward P/E of 23, and pays a yield of 1.3%. The company will be announcing earnings on May 5.

Of course, there are plenty of other publicly traded companies in the horse racing industry. Canterbury Park Holding Corp. (NASDAQ:CPHC) operates year-round pari-mutuel wagering on simulcast and live horse races, along with track concessions and card games, at the Canterbury Park Racetrack in Minnesota which it owns and operates. The stock has a P/E of 579. This is a low cap stock and should be considered speculative.

Dover Downs Gaming & Entertainment Inc. (NYSE:DDE) owns Dover Downs Raceway, a harness racing track with pari-mutuel wagering. The company has a forward P/E of 10.8 and pays a yield of 2.9%.

Magna Entertainment Corp. (MECAQ.PK) owns several horse racetracks and off track facilities. The company just won approval of its Chapter 11 reorganization. This is a very low cap stock and should therefore be considered very speculative.

MTR Gaming Group Inc. (NASDAQ:MNTG) owns racetracks in West Virginia, Pennsylvania, and Ohio. Earnings have recently been negative. This is a low cap stock and should be considered speculative.

Penn National Gaming Inc. (NASDAQ:PENN) owns racetracks and off-track wagering facilities in Colorado, Illinois, Indiana, Iowa, Louisiana, Maine, Mississippi, Missouri, New Jersey, Ohio, Pennsylvania, West Virginia, and Ontario. The stock has a forward P/E of 22.

By the way, if you want a free horse race handicapping program, check out the one at horsetip.com.

Disclosure: Author does not own any of the above.

Source: Galloping Kentucky Derby Stocks