DraftKings (NASDAQ:DKNG) Stock Price Expected to Rise, Citizens Jmp Analyst Says

DraftKings (NASDAQ:DKNG) had its target price boosted by equities research analysts at Citizens Jmp from $34.00 to $36.00 in a research note issued on Thursday, Marketbeat reports. The brokerage currently has a “mkt outperform” rating on the stock. Citizens Jmp’s price target points to a potential upside of 51.32% from the company’s previous close.

DKNG has been the topic of a number of other research reports. Sanford C. Bernstein reaffirmed an “outperform” rating on shares of DraftKings in a research report on Thursday, June 11th. Roth Mkm raised DraftKings from a “sell” rating to a “buy” rating in a research note on Friday, April 24th. Moffett Nathanson lowered DraftKings from a “buy” rating to a “neutral” rating and reduced their price target for the company from $38.00 to $27.00 in a research report on Friday, April 24th. TD Cowen reissued a “buy” rating and set a $30.00 price objective on shares of DraftKings in a research report on Monday, June 8th. Finally, Truist Financial decreased their price target on shares of DraftKings from $33.00 to $30.00 and set a “buy” rating for the company in a research note on Tuesday, April 21st. One equities research analyst has rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $34.27.

DraftKings Trading Down 3.0%

DraftKings stock traded down $0.74 during trading on Thursday, hitting $23.79. The company had a trading volume of 3,437,380 shares, compared to its average volume of 14,135,778. The stock has a market cap of $11.80 billion, a price-to-earnings ratio of 397.25 and a beta of 1.66. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.03. DraftKings has a 1-year low of $20.46 and a 1-year high of $48.78. The company’s 50 day simple moving average is $25.04 and its 200-day simple moving average is $27.17.

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

Insider Activity

In related news, insider R Stanton Dodge sold 62,500 shares of the stock in a transaction dated Thursday, June 11th. The stock was sold at an average price of $29.68, for a total value of $1,855,000.00. Following the completion of the transaction, the insider owned 556,258 shares of the company’s stock, valued at approximately $16,509,737.44. This represents a 10.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Woodrow Levin sold 34,234 shares of the firm’s stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $25.71, for a total value of $880,156.14. Following the completion of the sale, the director directly owned 29,820 shares in the company, valued at approximately $766,672.20. This trade represents a 53.45% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 97,596 shares of company stock valued at $2,756,991 in the last three months. 47.18% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of DKNG. Viking Global Investors LP bought a new stake in DraftKings in the 3rd quarter valued at $561,125,000. Capital World Investors boosted its stake in shares of DraftKings by 181.4% in the 4th quarter. Capital World Investors now owns 18,626,429 shares of the company’s stock valued at $641,867,000 after purchasing an additional 12,008,357 shares during the last quarter. Janus Henderson Group PLC increased its holdings in DraftKings by 50.8% during the 4th quarter. Janus Henderson Group PLC now owns 25,313,909 shares of the company’s stock worth $858,893,000 after purchasing an additional 8,524,923 shares in the last quarter. Norges Bank purchased a new position in shares of DraftKings in the 4th quarter worth approximately $284,466,000. Finally, Spruce House Investment Management LLC raised its holdings in shares of DraftKings by 129.6% in the 1st quarter. Spruce House Investment Management LLC now owns 9,650,000 shares of the company’s stock worth $208,633,000 after purchasing an additional 5,446,166 shares during the period. Institutional investors own 37.70% of the company’s stock.

DraftKings Company Profile

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.