Susquehanna Cuts DraftKings (NASDAQ:DKNG) Price Target to $48.00

DraftKings (NASDAQ:DKNG) had its target price lowered by analysts at Susquehanna from $59.00 to $48.00 in a research note issued to investors on Monday,Benzinga reports. The brokerage presently has a “positive” rating on the stock. Susquehanna’s target price would indicate a potential upside of 57.89% from the stock’s previous close.

Several other analysts have also recently weighed in on DKNG. Canaccord Genuity Group decreased their price objective on shares of DraftKings from $60.00 to $54.00 and set a “buy” rating on the stock in a research note on Friday. Needham & Company LLC reissued a “buy” rating and issued a $52.00 target price on shares of DraftKings in a report on Monday. BMO Capital Markets dropped their price target on DraftKings from $65.00 to $63.00 and set an “outperform” rating for the company in a report on Tuesday, November 4th. Mizuho cut their price objective on DraftKings from $58.00 to $54.00 and set an “outperform” rating for the company in a research report on Tuesday, October 7th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of DraftKings in a report on Wednesday, October 8th. Twenty-six research analysts have rated the stock with a Buy rating, two have issued a Hold rating and four have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $50.69.

DraftKings Stock Performance

Shares of NASDAQ:DKNG opened at $30.40 on Monday. The company has a debt-to-equity ratio of 1.82, a current ratio of 1.34 and a quick ratio of 1.34. The business’s fifty day moving average price is $37.88 and its two-hundred day moving average price is $39.48. DraftKings has a fifty-two week low of $26.23 and a fifty-two week high of $53.61. The stock has a market capitalization of $15.09 billion, a price-to-earnings ratio of -53.33, a price-to-earnings-growth ratio of 1.03 and a beta of 1.86.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, November 6th. The company reported ($0.26) earnings per share for the quarter, missing the consensus estimate of $0.01 by ($0.27). The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.40 billion. DraftKings had a negative return on equity of 21.47% and a negative net margin of 4.90%.The firm’s revenue for the quarter was up 4.4% compared to the same quarter last year. During the same period in the previous year, the company posted ($0.60) EPS. DraftKings has set its FY 2025 guidance at EPS. As a group, analysts predict that DraftKings will post 0.64 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director Ryan R. Moore sold 76,390 shares of the company’s stock in a transaction dated Thursday, August 21st. The stock was sold at an average price of $45.92, for a total value of $3,507,828.80. Following the completion of the sale, the director owned 402 shares in the company, valued at approximately $18,459.84. This represents a 99.48% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CFO Alan Wayne Ellingson sold 44,693 shares of the firm’s stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $44.90, for a total value of $2,006,715.70. Following the transaction, the chief financial officer owned 128,131 shares in the company, valued at approximately $5,753,081.90. This trade represents a 25.86% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 552,777 shares of company stock worth $23,337,924 over the last 90 days. 47.08% of the stock is currently owned by corporate insiders.

Institutional Trading of DraftKings

Institutional investors and hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. boosted its stake in DraftKings by 1.6% during the 2nd quarter. Vanguard Group Inc. now owns 43,761,344 shares of the company’s stock worth $1,876,924,000 after acquiring an additional 670,884 shares during the last quarter. T. Rowe Price Investment Management Inc. increased its stake in DraftKings by 0.7% in the first quarter. T. Rowe Price Investment Management Inc. now owns 18,700,071 shares of the company’s stock valued at $621,030,000 after purchasing an additional 130,434 shares in the last quarter. Geode Capital Management LLC raised its holdings in DraftKings by 5.4% in the second quarter. Geode Capital Management LLC now owns 9,014,088 shares of the company’s stock worth $385,552,000 after purchasing an additional 458,452 shares during the period. Norges Bank bought a new position in shares of DraftKings during the second quarter worth $362,554,000. Finally, Baillie Gifford & Co. boosted its position in shares of DraftKings by 26.5% during the first quarter. Baillie Gifford & Co. now owns 8,390,236 shares of the company’s stock worth $278,640,000 after purchasing an additional 1,756,778 shares in the last quarter. 37.70% of the stock is owned by institutional investors.

About DraftKings

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.