DraftKings Inc. (NASDAQ:DKNG) Receives $34.32 Average Price Target from Brokerages

DraftKings Inc. (NASDAQ:DKNG) has received an average rating of “Moderate Buy” from the thirty-nine analysts that are covering the firm, MarketBeat reports. Two research analysts have rated the stock with a sell rating, nine have assigned a hold rating, twenty-seven have given a buy rating and one has assigned a strong buy rating to the company. The average twelve-month price objective among brokerages that have issued a report on the stock in the last year is $34.3467.

Several research firms have weighed in on DKNG. Stifel Nicolaus lowered their price objective on shares of DraftKings from $44.00 to $40.00 and set a “buy” rating on the stock in a report on Tuesday, February 17th. Argus downgraded shares of DraftKings from a “buy” rating to a “hold” rating in a report on Tuesday, March 17th. Needham & Company LLC restated a “buy” rating and set a $35.00 price objective on shares of DraftKings in a report on Monday, May 11th. The Goldman Sachs Group lowered their price objective on shares of DraftKings from $54.00 to $31.00 and set a “buy” rating on the stock in a report on Tuesday, February 17th. Finally, Wells Fargo & Company restated an “overweight” rating and set a $32.00 price objective on shares of DraftKings in a report on Sunday, May 10th.

DraftKings Stock Performance

DKNG opened at $24.93 on Friday. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.03. The company’s fifty day moving average price is $23.80 and its two-hundred day moving average price is $27.61. DraftKings has a 1-year low of $20.46 and a 1-year high of $48.78. The company has a market cap of $12.37 billion, a price-to-earnings ratio of 415.50 and a beta of 1.66.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings data on Friday, May 8th. The company reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.22 by ($0.02). DraftKings had a return on equity of 13.51% and a net margin of 0.93%.The business had revenue of $1.65 billion for the quarter, compared to analyst estimates of $1.63 billion. During the same quarter in the previous year, the company posted ($0.07) EPS. The business’s quarterly revenue was up 16.8% on a year-over-year basis. On average, analysts expect that DraftKings will post 0.6 EPS for the current fiscal year.

Insider Activity

In other news, insider Paul Liberman sold 484,417 shares of the stock in a transaction dated Wednesday, March 11th. The shares were sold at an average price of $25.16, for a total value of $12,187,931.72. Following the completion of the sale, the insider owned 213,597 shares in the company, valued at $5,374,100.52. This represents a 69.40% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Jocelyn Moore sold 2,150 shares of the stock in a transaction dated Friday, March 13th. The shares were sold at an average price of $25.60, for a total transaction of $55,040.00. Following the completion of the sale, the director owned 1,406 shares of the company’s stock, valued at approximately $35,993.60. This represents a 60.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 521,663 shares of company stock worth $13,144,962 over the last quarter. Insiders own 47.18% of the company’s stock.

Institutional Trading of DraftKings

Several institutional investors and hedge funds have recently made changes to their positions in the company. IHT Wealth Management LLC raised its holdings in shares of DraftKings by 4.1% in the second quarter. IHT Wealth Management LLC now owns 6,271 shares of the company’s stock valued at $269,000 after purchasing an additional 248 shares during the last quarter. Orion Porfolio Solutions LLC raised its holdings in shares of DraftKings by 3.1% in the third quarter. Orion Porfolio Solutions LLC now owns 10,608 shares of the company’s stock valued at $397,000 after purchasing an additional 321 shares during the last quarter. Global Retirement Partners LLC raised its holdings in shares of DraftKings by 3.8% in the fourth quarter. Global Retirement Partners LLC now owns 10,365 shares of the company’s stock valued at $357,000 after purchasing an additional 379 shares during the last quarter. Ameriflex Group Inc. raised its holdings in shares of DraftKings by 100.0% in the third quarter. Ameriflex Group Inc. now owns 810 shares of the company’s stock valued at $30,000 after purchasing an additional 405 shares during the last quarter. Finally, Centaurus Financial Inc. raised its holdings in shares of DraftKings by 4.1% in the third quarter. Centaurus Financial Inc. now owns 10,511 shares of the company’s stock valued at $393,000 after purchasing an additional 410 shares during the last quarter. Hedge funds and other institutional investors own 37.70% of the company’s stock.

About DraftKings

DraftKings Inc is a leading digital sports entertainment and gaming company specializing in daily fantasy sports, sports betting and iGaming products. The company provides an integrated platform where users can participate in daily fantasy contests, place wagers on professional sports events, and enjoy a range of online casino-style games. DraftKings’ proprietary technology supports real-time odds, live scoring and advanced analytics to enhance the user experience across mobile and desktop applications.

Founded in 2012 by co-founders Jason Robins, Matthew Kalish and Paul Liberman, DraftKings began as a daily fantasy sports provider and rapidly expanded into regulated sports betting following legislative changes in the United States.