DraftKings (NASDAQ:DKNG) Price Target Lowered to $37.00 at Benchmark

DraftKings (NASDAQ:DKNG) had its target price dropped by Benchmark from $43.00 to $37.00 in a note issued to investors on Friday,Benzinga reports. The firm currently has a “buy” rating on the stock. Benchmark’s price objective would suggest a potential upside of 24.99% from the stock’s previous close.

DKNG has been the topic of a number of other research reports. Barclays restated an “overweight” rating and set a $54.00 price target (up previously from $51.00) on shares of DraftKings in a research note on Friday, August 8th. UBS Group lowered their price target on DraftKings from $58.00 to $56.00 and set a “buy” rating for the company in a research report on Wednesday, September 24th. JMP Securities cut their price objective on DraftKings from $54.00 to $51.00 and set a “market outperform” rating on the stock in a report on Wednesday, October 1st. Deutsche Bank Aktiengesellschaft set a $47.00 target price on DraftKings and gave the stock a “hold” rating in a report on Friday, August 8th. Finally, Berenberg Bank set a $43.00 price target on shares of DraftKings and gave the stock a “buy” rating in a report on Thursday, October 9th. Twenty-six research analysts have rated the stock with a Buy rating, two have issued a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, DraftKings presently has an average rating of “Moderate Buy” and an average price target of $52.03.

DraftKings Stock Up 5.8%

NASDAQ DKNG traded up $1.62 during midday trading on Friday, hitting $29.60. 26,285,101 shares of the company traded hands, compared to its average volume of 11,597,462. The company has a market cap of $14.70 billion, a PE ratio of -45.60, a price-to-earnings-growth ratio of 0.95 and a beta of 1.86. The company’s 50-day simple moving average is $38.23 and its 200-day simple moving average is $39.42. DraftKings has a 52 week low of $26.23 and a 52 week high of $53.61. The company has a debt-to-equity ratio of 1.82, a current ratio of 1.34 and a quick ratio of 1.34.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Thursday, November 6th. The company reported ($0.26) earnings per share for the quarter, missing analysts’ consensus estimates of $0.01 by ($0.27). The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.40 billion. DraftKings had a negative net margin of 5.63% and a negative return on equity of 30.06%. The firm’s quarterly revenue was up 4.4% on a year-over-year basis. During the same quarter in the prior year, the business posted ($0.60) earnings per share. DraftKings has set its FY 2025 guidance at EPS. As a group, equities research analysts forecast that DraftKings will post 0.64 earnings per share for the current year.

Insider Buying and Selling

In related news, insider R Stanton Dodge sold 52,777 shares of DraftKings stock in a transaction that occurred on Friday, October 17th. The shares were sold at an average price of $34.57, for a total value of $1,824,500.89. Following the completion of the transaction, the insider directly owned 500,000 shares in the company, valued at approximately $17,285,000. The trade was a 9.55% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Alan Wayne Ellingson sold 44,693 shares of the business’s stock in a transaction on Tuesday, August 19th. The shares were sold at an average price of $44.90, for a total transaction of $2,006,715.70. Following the sale, the chief financial officer directly owned 128,131 shares in the company, valued at $5,753,081.90. The trade was a 25.86% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 500,000 shares of company stock valued at $21,807,391. Corporate insiders own 51.19% of the company’s stock.

Hedge Funds Weigh In On DraftKings

Several hedge funds have recently made changes to their positions in DKNG. Ingalls & Snyder LLC lifted its holdings in DraftKings by 2.6% during the 3rd quarter. Ingalls & Snyder LLC now owns 239,589 shares of the company’s stock worth $8,961,000 after purchasing an additional 6,007 shares in the last quarter. Pallas Capital Advisors LLC increased its position in shares of DraftKings by 1.9% during the third quarter. Pallas Capital Advisors LLC now owns 89,626 shares of the company’s stock valued at $3,352,000 after buying an additional 1,708 shares during the period. State of New Jersey Common Pension Fund D increased its position in shares of DraftKings by 2.5% during the third quarter. State of New Jersey Common Pension Fund D now owns 154,461 shares of the company’s stock valued at $5,777,000 after buying an additional 3,748 shares during the period. Assetmark Inc. lifted its holdings in shares of DraftKings by 5.5% in the third quarter. Assetmark Inc. now owns 190,572 shares of the company’s stock worth $7,127,000 after buying an additional 10,002 shares in the last quarter. Finally, Illinois Municipal Retirement Fund boosted its position in shares of DraftKings by 55.8% in the third quarter. Illinois Municipal Retirement Fund now owns 120,935 shares of the company’s stock valued at $4,523,000 after acquiring an additional 43,310 shares during the period. 37.70% of the stock is currently owned by hedge funds and other institutional investors.

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.