DraftKings (NASDAQ:DKNG) Price Target Lowered to $53.00 at Stifel Nicolaus

DraftKings (NASDAQ:DKNG) had its price target cut by equities research analysts at Stifel Nicolaus from $57.00 to $53.00 in a report released on Tuesday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Stifel Nicolaus’ price objective points to a potential upside of 58.69% from the company’s previous close.

A number of other analysts have also recently commented on the company. Needham & Company LLC restated a “buy” rating and issued a $65.00 price objective on shares of DraftKings in a research report on Monday, April 7th. JPMorgan Chase & Co. raised their price target on shares of DraftKings from $53.00 to $61.00 and gave the company an “overweight” rating in a research note on Tuesday, February 18th. Citigroup reiterated an “outperform” rating on shares of DraftKings in a research note on Wednesday, April 2nd. Morgan Stanley raised their price objective on DraftKings from $49.00 to $53.00 and gave the company an “overweight” rating in a report on Monday, February 24th. Finally, BTIG Research dropped their target price on shares of DraftKings from $64.00 to $52.00 and set a “buy” rating for the company in a report on Tuesday. Three research analysts have rated the stock with a hold rating and twenty-five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $54.85.

DraftKings Stock Performance

DraftKings stock traded up $0.96 during midday trading on Tuesday, hitting $33.40. 2,721,744 shares of the company were exchanged, compared to its average volume of 9,743,613. DraftKings has a fifty-two week low of $28.69 and a fifty-two week high of $53.61. The firm has a market capitalization of $29.49 billion, a PE ratio of -31.50, a price-to-earnings-growth ratio of 1.43 and a beta of 2.16. The business has a fifty day simple moving average of $38.95 and a two-hundred day simple moving average of $39.66. The company has a debt-to-equity ratio of 1.24, a quick ratio of 1.00 and a current ratio of 0.93.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, February 13th. The company reported ($0.28) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.35). DraftKings had a negative net margin of 10.64% and a negative return on equity of 48.13%. On average, sell-side analysts forecast that DraftKings will post 0.64 earnings per share for the current year.

Insider Activity at DraftKings

In related news, CFO Alan Wayne Ellingson sold 158,661 shares of the company’s stock in a transaction that occurred on Tuesday, February 25th. The shares were sold at an average price of $42.42, for a total transaction of $6,730,399.62. Following the sale, the chief financial officer now directly owns 179,435 shares in the company, valued at approximately $7,611,632.70. This represents a 46.93 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Jason Robins sold 666,651 shares of DraftKings stock in a transaction that occurred on Tuesday, February 25th. The stock was sold at an average price of $42.42, for a total transaction of $28,279,335.42. Following the completion of the transaction, the insider now owns 3,336,195 shares of the company’s stock, valued at $141,521,391.90. This represents a 16.65 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 2,575,525 shares of company stock worth $109,441,446. Corporate insiders own 51.19% of the company’s stock.

Institutional Investors Weigh In On DraftKings

Several hedge funds and other institutional investors have recently made changes to their positions in DKNG. Vanguard Group Inc. boosted its holdings in shares of DraftKings by 1.4% in the 4th quarter. Vanguard Group Inc. now owns 43,073,314 shares of the company’s stock valued at $1,602,327,000 after buying an additional 584,452 shares in the last quarter. T. Rowe Price Investment Management Inc. increased its position in shares of DraftKings by 4.0% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 18,569,637 shares of the company’s stock worth $690,791,000 after purchasing an additional 707,504 shares in the last quarter. FMR LLC boosted its position in shares of DraftKings by 110.6% in the 4th quarter. FMR LLC now owns 13,617,448 shares of the company’s stock valued at $506,569,000 after purchasing an additional 7,150,382 shares during the period. Janus Henderson Group PLC increased its position in DraftKings by 31,346.8% during the fourth quarter. Janus Henderson Group PLC now owns 9,381,853 shares of the company’s stock worth $349,005,000 after buying an additional 9,352,019 shares during the period. Finally, Geode Capital Management LLC lifted its stake in DraftKings by 1.1% in the fourth quarter. Geode Capital Management LLC now owns 8,075,009 shares of the company’s stock valued at $299,921,000 after buying an additional 89,988 shares during the last quarter. Institutional investors and hedge funds 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.