Needham & Company LLC Reaffirms “Buy” Rating for DraftKings (NASDAQ:DKNG)

Needham & Company LLC reiterated their buy rating on shares of DraftKings (NASDAQ:DKNG) in a research report sent to investors on Friday morning,Benzinga reports. Needham & Company LLC currently has a $60.00 target price on the stock.

Other analysts have also issued reports about the company. Barclays boosted their target price on DraftKings from $45.00 to $50.00 and gave the company an “overweight” rating in a research note on Monday, November 11th. TD Cowen dropped their price objective on shares of DraftKings from $55.00 to $51.00 and set a “buy” rating on the stock in a report on Tuesday. Morgan Stanley boosted their price target on shares of DraftKings from $47.00 to $48.00 and gave the company an “overweight” rating in a research report on Tuesday, October 22nd. Mizuho upped their price target on shares of DraftKings from $54.00 to $62.00 and gave the company an “outperform” rating in a research note on Friday, October 18th. Finally, JPMorgan Chase & Co. lifted their price objective on shares of DraftKings from $47.00 to $53.00 and gave the company an “overweight” rating in a research note on Friday, December 13th. Three research analysts have rated the stock with a hold rating and twenty-three have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $50.92.

DraftKings Stock Performance

NASDAQ DKNG opened at $42.28 on Friday. The company has a market capitalization of $20.62 billion, a PE ratio of -48.04, a price-to-earnings-growth ratio of 3.14 and a beta of 1.93. The company has a debt-to-equity ratio of 1.17, a quick ratio of 1.00 and a current ratio of 1.00. DraftKings has a 52-week low of $28.69 and a 52-week high of $49.57. The company has a 50-day simple moving average of $40.37 and a 200 day simple moving average of $38.35.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings results on Thursday, November 7th. The company reported ($0.60) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.42) by ($0.18). DraftKings had a negative return on equity of 41.23% and a negative net margin of 9.06%. The company had revenue of $1.10 billion for the quarter, compared to analysts’ expectations of $1.12 billion. On average, research analysts predict that DraftKings will post -0.93 EPS for the current year.

Insider Activity

In other DraftKings news, insider R Stanton Dodge sold 228,496 shares of the stock in a transaction that occurred on Monday, December 9th. The shares were sold at an average price of $42.74, for a total transaction of $9,765,919.04. Following the transaction, the insider now directly owns 541,884 shares in the company, valued at $23,160,122.16. This trade represents a 29.66 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Jason Robins sold 3,151 shares of the business’s stock in a transaction that occurred on Thursday, November 21st. The stock was sold at an average price of $43.71, for a total transaction of $137,730.21. Following the completion of the sale, the insider now owns 2,631,033 shares of the company’s stock, valued at approximately $115,002,452.43. The trade was a 0.12 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 963,742 shares of company stock worth $38,082,888. 51.19% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Prosperity Wealth Management Inc. grew its position in DraftKings by 17.1% during the 4th quarter. Prosperity Wealth Management Inc. now owns 62,114 shares of the company’s stock worth $2,311,000 after acquiring an additional 9,052 shares during the last quarter. Citizens Financial Group Inc. RI purchased a new position in shares of DraftKings in the fourth quarter worth $789,000. Daiwa Securities Group Inc. raised its holdings in DraftKings by 5.9% during the 4th quarter. Daiwa Securities Group Inc. now owns 42,317 shares of the company’s stock valued at $1,574,000 after buying an additional 2,351 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank boosted its position in DraftKings by 3.9% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 87,162 shares of the company’s stock valued at $3,242,000 after buying an additional 3,272 shares during the period. Finally, Amundi grew its holdings in DraftKings by 14.4% in the 4th quarter. Amundi now owns 1,003,946 shares of the company’s stock worth $38,501,000 after acquiring an additional 126,171 shares during the last quarter. Hedge funds and other 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.