Insider Selling: DraftKings (NASDAQ:DKNG) CFO Sells 8,421 Shares of Stock

DraftKings Inc. (NASDAQ:DKNG) CFO Alan Wayne Ellingson sold 8,421 shares of the firm’s stock in a transaction on Friday, November 14th. The shares were sold at an average price of $29.23, for a total value of $246,145.83. Following the sale, the chief financial officer directly owned 126,990 shares of the company’s stock, valued at $3,711,917.70. This represents a 6.22% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link.

Alan Wayne Ellingson also recently made the following trade(s):

• On Tuesday, August 19th, Alan Wayne Ellingson sold 44,693 shares of DraftKings stock. The shares were sold at an average price of $44.90, for a total transaction of $2,006,715.70.

DraftKings Price Performance

Shares of NASDAQ DKNG traded down $0.11 during mid-day trading on Friday, reaching $29.58. 17,285,287 shares of the company were exchanged, compared to its average volume of 20,643,100. The company has a debt-to-equity ratio of 2.51, a quick ratio of 1.34 and a current ratio of 1.10. The company’s 50-day simple moving average is $36.50 and its 200-day simple moving average is $39.31. DraftKings Inc. has a twelve month low of $26.23 and a twelve month high of $53.61.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Friday, November 7th. The company reported ($0.26) earnings per share for the quarter, missing the consensus estimate of $0.01 by ($0.27). DraftKings had a negative net margin of 4.90% and a negative return on equity of 22.84%. The company had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.40 billion. During the same period in the prior year, the company earned ($0.60) earnings per share. The firm’s revenue was up 4.4% compared to the same quarter last year. On average, research analysts predict that DraftKings Inc. will post 0.64 earnings per share for the current year.

Hedge Funds Weigh In On DraftKings

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Envestnet Asset Management Inc. lifted its stake in DraftKings by 30.0% in the 1st quarter. Envestnet Asset Management Inc. now owns 457,521 shares of the company’s stock valued at $15,194,000 after buying an additional 105,480 shares in the last quarter. Brown Advisory Inc. raised its holdings in shares of DraftKings by 14.6% during the first quarter. Brown Advisory Inc. now owns 7,600 shares of the company’s stock valued at $252,000 after acquiring an additional 968 shares during the last quarter. Cerity Partners LLC lifted its position in shares of DraftKings by 520.6% in the first quarter. Cerity Partners LLC now owns 102,373 shares of the company’s stock valued at $3,400,000 after acquiring an additional 85,877 shares in the last quarter. Stephens Inc. AR boosted its stake in shares of DraftKings by 26.2% in the first quarter. Stephens Inc. AR now owns 38,730 shares of the company’s stock worth $1,286,000 after acquiring an additional 8,052 shares during the last quarter. Finally, CWM LLC increased its position in shares of DraftKings by 40.6% during the first quarter. CWM LLC now owns 135,355 shares of the company’s stock worth $4,495,000 after purchasing an additional 39,052 shares in the last quarter. 37.70% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the stock. BTIG Research reduced their target price on shares of DraftKings from $45.00 to $42.00 and set a “buy” rating for the company in a research report on Friday, November 7th. Barclays dropped their price target on shares of DraftKings from $54.00 to $40.00 and set an “overweight” rating for the company in a research report on Monday. Northland Capmk upgraded shares of DraftKings from a “strong sell” rating to a “hold” rating in a research note on Monday. Berenberg Bank set a $43.00 price target on DraftKings and gave the company a “buy” rating in a research note on Thursday, October 9th. Finally, Mizuho lowered their price objective on shares of DraftKings from $54.00 to $46.00 and set an “outperform” rating for the company in a research report on Thursday. Twenty-six analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $48.38.

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.