It is dawn at the Bourdelle family farm in Erath, Louisiana, also known as “Coonass Country.” Lloyd, a horse trainer, and his two sons, Randy, a jockey, and young Casey, start their day. At the local racetrack, children play and adults place bets while Lloyd discusses Randy’s intention to ride an injured horse at the bar. Lloyd forbids it, claiming that the horse could be permanently damaged or killed, then greets fellow trainer Mike Marsh, who works for horse owner Tom Patterson. Lloyd challenges Marsh’s daughter, Kelly, to a race with Casey’s tiny pony, Gypsy. After making a bet of $200, Randy secretly straps a chicken onto Gypsy to pose as a jockey and Gypsy wins. However, Marsh believes Lloyd tricked him and refuses to pay. Back at the farm, eldest son Buddy returns home from a trip and shows Lloyd and Calvin Lebec, the horse owner they work for, the horse he purchased, swearing that he got the deal of the century. The mare is pregnant from a legendary racehorse called "Sure Hit." Lloyd doesn’t think it possible because it would cost at least $6,000 to breed with a stud like Sure Hit, but Buddy reports that the seller stole Sure Hit's semen. Although Lloyd believes Buddy, Calvin is not convinced. When Buddy and Lloyd offer to buy back the horse, Calvin refuses. Weeks later, the mare dies giving birth to a colt with white hooves, which are considered weaker than black hooves because they are more likely to splinter while racing. Casey begs Lloyd to save the foal and convinces the others that Gypsy can nurse the baby. Two years pass and the colt grows as Casey trains him. When Buddy says the horse isn’t tough enough to race, Casey becomes determined to prove him wrong; however, Lloyd and Buddy are furious when Casey trains the horse to run, claiming that the colt is too young and his legs will be damaged. Even so, Buddy notes that the horse is fast. That evening, Lloyd tells Casey that he registered the horse for a race with the name “Casey’s Shadow.” The next morning, Shadow is in good shape and they head to the local racetrack. As the wealthy horse owner, Sarah Blue, arrives, Lloyd and Buddy run into Marsh, who still works for Patterson. Marsh gives Lloyd the $200 he won at the race with Kelly’s horse two years ago. Casey asks for money for food, but Lloyd suspects that Casey wants to bet against Kelly on a game of pool. As Randy rides Shadow and wins a practice race, Sarah Blue watches from the sidelines. Marsh offers to buy Shadow on behalf of Patterson, but Lloyd refuses. Meanwhile, Sarah tells Randy that Shadow looks like her horse, Sure Hit, and Randy reports that Sure Hit is Shadow’s father. Although Buddy wonders why Lloyd won’t sell Shadow to help solve the family’s financial woes, Lloyd thinks that the horse will become a lucrative racer. Elsewhere, at a diner, Kelly beats Casey at pool, leaving him $5 in debt. At a meeting with his boss, Lloyd suggests that Calvin nominate Shadow for the All American Futurity Race, which features young colts before they are fully-grown. The prize is one million dollars. Buddy and Calvin don’t think Shadow has a chance, but Lloyd offers to pay the entry fee for ten percent of the winnings and Calvin agrees. Although Calvin and Lloyd make a contract in which Lloyd retains control over Shadow until Labor Day, Buddy reminds his father that they don’t have the $4,000 entry fee. The next day, Sarah Blue arrives at the farm, wanting to buy Shadow to continue Sure Hit’s line. While Lloyd says that he won’t sell Shadow until after the race, Buddy offers Sarah an option on the horse against the future purchase price and she agrees to pay $5,000. One day at the local racetrack, Casey rides Shadow and Kelly challenges him to a race to repay his $5 debt. Casey rides recklessly and runs onto the parking lot asphalt, leaving Shadow’s shin injured. Back at the farm, the veterinarian tells Lloyd that Shadow needs time to recover. Despite the doctor’s advice, Lloyd still intends to race Shadow at the All American because he wants to prove that a regular person from “Coonass Country” can win. The family heads to the Rainbow Futurity race in Ruidoso, New Mexico. As Lloyd and Buddy watch the competition, Tom Patterson, Marsh’s boss, offers to buy Shadow, but Lloyd reports that Sarah Blue already has an option on him. When Patterson says he will pay an additional $50,000 if Shadow will race under his name in the All American, Lloyd insists that Shadow is not for sale until after the race. Meanwhile, Shadow re-injures his shin as he wins the trial race and a veterinarian gives him medication. That night at the bar, Sarah tells Lloyd and Buddy that she wants Lloyd to bow out of the race; Shadow will not recover from his injury if he races too soon. Sarah reports that she will be unable to stud Shadow if he does not build the reputation of a successful racehorse, but Lloyd keeps Shadow in the race. The next day, Patterson and Marsh talk about their odds of winning and Marsh assures Patterson that Shadow is too injured to race. When Patterson wants a guarantee, Marsh insists that he’ll “take care” of Shadow. Sarah offers Buddy a job as an apprentice trainer for her operation under the condition that he convince his father to withdraw Shadow; however, Buddy insists his father wouldn’t race a horse if it was still injured. Displeased, Sarah demands Calvin Lebec’s phone number so she can influence Lloyd’s employer. That evening, Casey spots a man putting poison in the horses’ feed buckets. Although Gypsy eats the food and dies, Casey pulls the poison away from Shadow. After comforting his son, Lloyd tracks down Marsh and beats him. When Lloyd returns home, Buddy mentions Sarah’s offer. Lloyd reports that Calvin already called, asking him to withdraw Shadow and offering $50,000 of the sale price. Lloyd refused and Buddy tells his father that he’s taking Sarah’s job offer. The next day, Lloyd inspects Shadow and thinks he is well enough to race, but Buddy doesn’t understand his father’s logic: Lloyd always warned the boys against running an injured horse. Lloyd explains that Shadow’s race is this is his last shot at success. Later, Shadow is victorious and although Lloyd basks in the glory, Shadow is irrevocable injured. When the veterinarian says that Shadow should be put down, Buddy asks Lloyd if winning was worth alienating his family and announces that he’s taking Randy and Casey with him to work for Sarah. As Buddy and Randy leave, Calvin agrees to put Shadow to sleep, but Lloyd begs the doctor to save the horse and offers all of his winnings to pay for Shadow’s surgery. The next day, as the brothers get ready to go, Lloyd apologizes and says that the surgery was a success. Lloyd asks his sons to come home to nurse Shadow back to health and the boys agree.