Bwcp LP Cuts Holdings in DraftKings Inc. $DKNG

Bwcp LP reduced its holdings in shares of DraftKings Inc. (NASDAQ:DKNG) by 16.6% in the second quarter, HoldingsChannel.com reports. The fund owned 622,175 shares of the company’s stock after selling 123,481 shares during the quarter. DraftKings accounts for 4.4% of Bwcp LP’s holdings, making the stock its 9th biggest position. Bwcp LP’s holdings in DraftKings were worth $26,685,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Norges Bank bought a new stake in shares of DraftKings during the 2nd quarter valued at about $362,554,000. AQR Capital Management LLC boosted its holdings in shares of DraftKings by 2,138.9% during the 1st quarter. AQR Capital Management LLC now owns 4,696,244 shares of the company’s stock worth $155,962,000 after buying an additional 4,486,488 shares in the last quarter. Brown Advisory Inc. boosted its holdings in shares of DraftKings by 53,272.1% during the 2nd quarter. Brown Advisory Inc. now owns 4,056,280 shares of the company’s stock worth $173,974,000 after buying an additional 4,048,680 shares in the last quarter. Eminence Capital LP grew its position in shares of DraftKings by 195.2% during the 1st quarter. Eminence Capital LP now owns 5,178,083 shares of the company’s stock worth $171,964,000 after buying an additional 3,423,909 shares during the period. Finally, Contour Asset Management LLC increased its stake in shares of DraftKings by 129.4% in the 1st quarter. Contour Asset Management LLC now owns 2,501,703 shares of the company’s stock valued at $83,082,000 after acquiring an additional 1,410,977 shares in the last quarter. 37.70% of the stock is owned by institutional investors and hedge funds.

DraftKings Trading Up 1.8%

DKNG opened at $35.52 on Friday. The company has a debt-to-equity ratio of 2.51, a current ratio of 1.10 and a quick ratio of 1.09. DraftKings Inc. has a fifty-two week low of $26.23 and a fifty-two week high of $53.61. The firm has a market capitalization of $17.68 billion, a PE ratio of -62.32, a P/E/G ratio of 2.89 and a beta of 1.60. The company’s 50-day moving average is $32.33 and its 200 day moving average is $38.88.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Friday, November 7th. The company reported ($0.26) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.01 by ($0.27). The company had revenue of $1.14 billion for the quarter, compared to analyst estimates of $1.40 billion. DraftKings had a negative net margin of 4.90% and a negative return on equity of 22.84%. DraftKings’s revenue for the quarter was up 4.4% on a year-over-year basis. During the same quarter last year, the firm posted ($0.60) EPS. As a group, research analysts predict that DraftKings Inc. will post 0.64 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Harry Sloan acquired 25,000 shares of the company’s stock in a transaction on Tuesday, November 11th. The shares were acquired at an average cost of $30.30 per share, for a total transaction of $757,500.00. Following the purchase, the director owned 249,712 shares in the company, valued at approximately $7,566,273.60. The trade was a 11.13% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Alan Wayne Ellingson sold 8,421 shares of the company’s stock in a transaction on Friday, November 14th. The stock was sold at an average price of $29.23, for a total transaction of $246,145.83. Following the completion of the sale, the chief financial officer owned 126,990 shares of the company’s stock, valued at approximately $3,711,917.70. The trade was a 6.22% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 166,752 shares of company stock worth $5,387,153 in the last ninety days. Corporate insiders own 51.19% of the company’s stock.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the stock. Guggenheim cut their target price on shares of DraftKings from $55.00 to $45.00 and set a “buy” rating on the stock in a research note on Monday, November 10th. Zacks Research lowered shares of DraftKings from a “hold” rating to a “strong sell” rating in a report on Thursday, November 6th. Jefferies Financial Group set a $52.00 target price on DraftKings in a research note on Monday, October 6th. Wells Fargo & Company assumed coverage on DraftKings in a research report on Tuesday, November 18th. They issued an “equal weight” rating and a $31.00 target price for the company. Finally, Canaccord Genuity Group cut their price target on DraftKings from $60.00 to $54.00 and set a “buy” rating on the stock in a report on Friday, November 7th. Twenty-five analysts have rated the stock with a Buy rating, five have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $47.48.

DraftKings Company Profile

DraftKings Inc operates as a digital sports entertainment and gaming company in the United States and internationally. It provides online sports betting and casino, daily fantasy sports, media, and other consumer products, as well as retails sportsbooks. The company also engages in the design and development of sports betting and casino gaming software for online and retail sportsbooks, and iGaming operators.