DraftKings (NASDAQ:DKNG) Price Target Cut to $41.00

DraftKings (NASDAQ:DKNG) had its price objective reduced by Benchmark from $52.00 to $41.00 in a research report released on Friday morning, Benzinga reports. Benchmark currently has a buy rating on the stock.

A number of other research analysts have also recently commented on the company. Berenberg Bank upgraded DraftKings to a hold rating in a report on Friday, May 31st. Oppenheimer dropped their target price on DraftKings from $60.00 to $58.00 and set an outperform rating on the stock in a report on Monday, July 1st. The Goldman Sachs Group began coverage on shares of DraftKings in a research note on Tuesday, April 16th. They issued a buy rating and a $60.00 price objective for the company. Needham & Company LLC reiterated a buy rating and set a $60.00 target price on shares of DraftKings in a research note on Wednesday, July 24th. Finally, Susquehanna decreased their target price on shares of DraftKings from $49.00 to $47.00 and set a positive rating for the company in a research note on Thursday, August 1st. Two investment analysts have rated the stock with a sell rating, two have issued a hold rating and twenty-six have assigned a buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of Moderate Buy and a consensus target price of $48.30.

DraftKings Stock Performance

NASDAQ DKNG opened at $31.80 on Friday. The company has a debt-to-equity ratio of 1.51, a quick ratio of 1.34 and a current ratio of 1.34. DraftKings has a fifty-two week low of $25.41 and a fifty-two week high of $49.57. The stock has a 50-day simple moving average of $37.56 and a two-hundred day simple moving average of $40.99. The firm has a market capitalization of $27.64 billion, a P/E ratio of -26.95 and a beta of 1.81.

DraftKings (NASDAQ:DKNG) last announced its quarterly earnings results on Thursday, August 1st. The company reported $0.12 earnings per share for the quarter, beating the consensus estimate of ($0.01) by $0.13. DraftKings had a negative return on equity of 49.31% and a negative net margin of 9.45%. The firm had revenue of $1.10 billion during the quarter, compared to analyst estimates of $1.11 billion. During the same quarter in the previous year, the business earned ($0.17) EPS. DraftKings’s revenue for the quarter was up 26.2% compared to the same quarter last year. On average, equities analysts forecast that DraftKings will post -0.31 earnings per share for the current year.

Insider Activity at DraftKings

In other DraftKings news, Director Jocelyn Moore sold 1,450 shares of DraftKings stock in a transaction that occurred on Wednesday, June 5th. The shares were sold at an average price of $35.92, for a total value of $52,084.00. Following the transaction, the director now owns 6,814 shares of the company’s stock, valued at $244,758.88. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. In other DraftKings news, insider Paul Liberman sold 63,206 shares of the company’s stock in a transaction on Monday, July 15th. The shares were sold at an average price of $39.00, for a total value of $2,465,034.00. Following the transaction, the insider now directly owns 1,716,406 shares in the company, valued at $66,939,834. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Jocelyn Moore sold 1,450 shares of the company’s stock in a transaction dated Wednesday, June 5th. The shares were sold at an average price of $35.92, for a total transaction of $52,084.00. Following the completion of the transaction, the director now owns 6,814 shares in the company, valued at $244,758.88. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 1,383,546 shares of company stock worth $55,279,617. 51.19% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On DraftKings

Institutional investors and hedge funds have recently modified their holdings of the business. Highlander Capital Management LLC grew its stake in shares of DraftKings by 180.0% in the fourth quarter. Highlander Capital Management LLC now owns 700 shares of the company’s stock valued at $25,000 after acquiring an additional 450 shares in the last quarter. Transcendent Capital Group LLC bought a new position in DraftKings in the 4th quarter valued at approximately $26,000. Montag A & Associates Inc. bought a new position in DraftKings in the 4th quarter valued at approximately $29,000. LRI Investments LLC bought a new position in DraftKings in the 1st quarter valued at approximately $31,000. Finally, LifeSteps Financial Inc. acquired a new stake in DraftKings during the 1st quarter valued at approximately $33,000. 37.70% of the stock is currently owned by institutional investors and hedge funds.

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.