DraftKings Inc. (NASDAQ:DKNG) Receives Average Rating of “Moderate Buy” from Analysts

Shares of DraftKings Inc. (NASDAQ:DKNG) have been given a consensus rating of “Moderate Buy” by the twenty-eight brokerages that are presently covering the stock, MarketBeat reports. Three research analysts have rated the stock with a hold recommendation and twenty-five have assigned a buy recommendation to the company. The average twelve-month price target among analysts that have updated their coverage on the stock in the last year is $54.44.

Several analysts recently issued reports on the company. Benchmark upped their target price on DraftKings from $44.00 to $51.00 and gave the stock a “buy” rating in a report on Monday. Wells Fargo & Company upped their target price on DraftKings from $53.00 to $60.00 and gave the stock an “overweight” rating in a report on Tuesday, February 18th. Barclays upped their target price on DraftKings from $50.00 to $60.00 and gave the stock an “overweight” rating in a report on Tuesday, February 18th. Argus set a $60.00 target price on DraftKings in a report on Tuesday, February 18th. Finally, BTIG Research set a $59.00 target price on DraftKings in a report on Monday, February 3rd.

DraftKings Stock Performance

Shares of DraftKings stock opened at $38.63 on Thursday. The firm has a market cap of $18.93 billion, a price-to-earnings ratio of -36.44, a price-to-earnings-growth ratio of 1.43 and a beta of 2.07. The stock’s 50-day moving average is $42.12 and its 200-day moving average is $40.09. DraftKings has a one year low of $28.69 and a one year high of $53.61. The company has a debt-to-equity ratio of 1.24, a current ratio of 0.93 and a quick ratio of 1.00.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings results on Thursday, February 13th. The company reported ($0.28) EPS for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.35). DraftKings had a negative net margin of 10.64% and a negative return on equity of 48.13%. Equities analysts predict that DraftKings will post 0.64 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Matthew Kalish sold 587,585 shares of the stock in a transaction that occurred on Friday, February 21st. The stock was sold at an average price of $47.05, for a total transaction of $27,645,874.25. Following the sale, the insider now owns 4,118,927 shares of the company’s stock, valued at $193,795,515.35. This represents a 12.48 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Paul Liberman sold 532,095 shares of the stock in a transaction that occurred on Thursday, December 26th. The stock was sold at an average price of $38.30, for a total value of $20,379,238.50. Following the sale, the insider now directly owns 68,654 shares in the company, valued at $2,629,448.20. This represents a 88.57 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 2,558,412 shares of company stock valued at $108,506,588. 51.19% of the stock is owned by insiders.

Institutional Investors Weigh In On DraftKings

A number of large investors have recently added to or reduced their stakes in DKNG. Beacon Pointe Advisors LLC boosted its holdings in shares of DraftKings by 1.9% in the 4th quarter. Beacon Pointe Advisors LLC now owns 10,699 shares of the company’s stock valued at $398,000 after purchasing an additional 203 shares in the last quarter. Nissay Asset Management Corp Japan ADV boosted its holdings in shares of DraftKings by 0.3% in the 4th quarter. Nissay Asset Management Corp Japan ADV now owns 77,696 shares of the company’s stock valued at $2,946,000 after purchasing an additional 217 shares in the last quarter. Pine Valley Investments Ltd Liability Co boosted its holdings in shares of DraftKings by 3.7% in the 3rd quarter. Pine Valley Investments Ltd Liability Co now owns 6,924 shares of the company’s stock valued at $271,000 after purchasing an additional 249 shares in the last quarter. Claro Advisors LLC boosted its holdings in shares of DraftKings by 1.5% in the 4th quarter. Claro Advisors LLC now owns 18,093 shares of the company’s stock valued at $673,000 after purchasing an additional 264 shares in the last quarter. Finally, Allworth Financial LP boosted its holdings in shares of DraftKings by 8.0% in the 4th quarter. Allworth Financial LP now owns 3,659 shares of the company’s stock valued at $150,000 after purchasing an additional 271 shares in the last quarter. Institutional investors and hedge funds own 37.70% of the company’s stock.

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.