DraftKings (NASDAQ:DKNG) Receives Buy Rating from Needham & Company LLC

DraftKings (NASDAQ:DKNG)‘s stock had its “buy” rating reaffirmed by equities research analysts at Needham & Company LLC in a note issued to investors on Wednesday,Benzinga reports. They presently have a $52.00 price target on the stock. Needham & Company LLC’s price target indicates a potential upside of 77.05% from the stock’s previous close.

Several other equities analysts also recently commented on DKNG. UBS Group lowered their target price on shares of DraftKings from $58.00 to $56.00 and set a “buy” rating on the stock in a report on Wednesday, September 24th. Bank of America cut shares of DraftKings from a “buy” rating to a “neutral” rating and decreased their price target for the stock from $48.00 to $35.00 in a research note on Tuesday, November 4th. Citigroup dropped their price objective on shares of DraftKings from $56.00 to $48.00 and set a “buy” rating for the company in a report on Monday, November 10th. Macquarie reduced their target price on DraftKings from $50.00 to $48.00 and set an “outperform” rating on the stock in a report on Monday, November 10th. Finally, Stifel Nicolaus reissued a “buy” rating and set a $46.00 price target (down from $50.00) on shares of DraftKings in a research note on Monday, November 10th. Twenty-five analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $47.38.

DraftKings Price Performance

NASDAQ:DKNG opened at $29.37 on Wednesday. The business’s 50-day simple moving average is $35.48 and its two-hundred day simple moving average is $39.30. DraftKings has a 52 week low of $26.23 and a 52 week high of $53.61. The stock has a market cap of $14.62 billion, a PE ratio of -51.53, a P/E/G ratio of 2.39 and a beta of 1.86. The company has a quick ratio of 1.09, a current ratio of 1.10 and a debt-to-equity ratio of 2.51.

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

Insider Buying and Selling at DraftKings

In other news, Director Ryan R. Moore sold 76,390 shares of the business’s stock in a transaction on Thursday, August 21st. The shares were sold at an average price of $45.92, for a total transaction of $3,507,828.80. Following the completion of the sale, the director directly owned 402 shares of the company’s stock, valued at approximately $18,459.84. The trade was a 99.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider R Stanton Dodge sold 52,777 shares of the business’s stock in a transaction dated Thursday, November 6th. The shares were sold at an average price of $29.00, for a total transaction of $1,530,533.00. Following the completion of the sale, the insider directly owned 500,454 shares of the company’s stock, valued at approximately $14,513,166. This trade represents a 9.54% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 295,919 shares of company stock valued at $12,109,102. 47.08% of the stock is owned by company insiders.

Hedge Funds Weigh In On DraftKings

A number of large investors have recently bought and sold shares of the business. Ameriflex Group Inc. boosted its position in DraftKings by 100.0% during the 3rd quarter. Ameriflex Group Inc. now owns 810 shares of the company’s stock valued at $30,000 after acquiring an additional 405 shares in the last quarter. Bank of Jackson Hole Trust purchased a new stake in shares of DraftKings during the 1st quarter worth $31,000. Root Financial Partners LLC purchased a new stake in shares of DraftKings during the 3rd quarter worth $33,000. TD Private Client Wealth LLC boosted its position in DraftKings by 54.4% during the second quarter. TD Private Client Wealth LLC now owns 800 shares of the company’s stock valued at $34,000 after purchasing an additional 282 shares in the last quarter. Finally, Summit Securities Group LLC grew its stake in DraftKings by 349.1% in the first quarter. Summit Securities Group LLC now owns 1,042 shares of the company’s stock valued at $35,000 after purchasing an additional 810 shares during the last quarter. Institutional investors own 37.70% of the company’s stock.

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.