DraftKings (NASDAQ:DKNG) Price Target Lowered to $29.00 at Benchmark

DraftKings (NASDAQ:DKNG) had its target price reduced by Benchmark from $37.00 to $29.00 in a report issued on Friday,Benzinga reports. They currently have a buy rating on the stock.

Several other equities research analysts also recently issued reports on the stock. UBS Group restated a “buy” rating on shares of DraftKings in a research note on Wednesday, January 7th. Guggenheim reduced their price objective on shares of DraftKings from $45.00 to $42.00 and set a “buy” rating on the stock in a research note on Thursday, January 29th. Wells Fargo & Company assumed coverage on shares of DraftKings in a research report on Tuesday, November 18th. They issued an “equal weight” rating and a $31.00 price objective on the stock. Weiss Ratings restated a “sell (d-)” rating on shares of DraftKings in a report on Wednesday, January 21st. Finally, Stifel Nicolaus decreased their price objective on shares of DraftKings from $46.00 to $44.00 and set a “buy” rating on the stock in a report on Friday, January 30th. Twenty-three investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $44.14.

DraftKings Price Performance

NASDAQ DKNG opened at $21.76 on Friday. The firm has a market capitalization of $10.83 billion, a price-to-earnings ratio of -544.00, a price-to-earnings-growth ratio of 0.50 and a beta of 1.67. The company has a 50 day simple moving average of $32.22 and a 200-day simple moving average of $36.25. The company has a debt-to-equity ratio of 2.51, a current ratio of 1.10 and a quick ratio of 1.09. DraftKings has a 52-week low of $21.01 and a 52-week high of $53.61.

Insider Buying and Selling

In related news, insider R Stanton Dodge sold 52,777 shares of the company’s stock in a transaction that occurred on Tuesday, January 20th. The stock was sold at an average price of $32.01, for a total transaction of $1,689,391.77. Following the completion of the transaction, the insider owned 500,000 shares in the company, valued at $16,005,000. This represents a 9.55% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 51.19% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in DKNG. Dagco Inc. bought a new stake in shares of DraftKings in the fourth quarter worth approximately $26,000. Ameriflex Group Inc. grew its position in DraftKings by 100.0% in the 3rd quarter. Ameriflex Group Inc. now owns 810 shares of the company’s stock worth $30,000 after purchasing an additional 405 shares during the period. Root Financial Partners LLC purchased a new stake in DraftKings during the 3rd quarter valued at $33,000. Asset Dedication LLC purchased a new stake in DraftKings during the 3rd quarter valued at $37,000. Finally, Montag A & Associates Inc. lifted its holdings in shares of DraftKings by 82.5% during the 4th quarter. Montag A & Associates Inc. now owns 1,106 shares of the company’s stock valued at $38,000 after buying an additional 500 shares during the period. Hedge funds and other institutional investors own 37.70% of the company’s stock.

Key DraftKings News

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: Q4 revenue and margin progress — DraftKings reported +43% year‑over‑year revenue and said it achieved record revenue and adjusted EBITDA, signaling strong top‑line growth and improving operating results. DraftKings Reports Fourth Quarter Revenue Growth of 43%
• Positive Sentiment: Some analysts remain constructive — BTIG kept a “buy” rating despite cutting the price target to $37, still implying substantial upside from current levels, which can provide a floor for longer‑term buyers. Benzinga
• Neutral Sentiment: Mixed analyst updates — Benchmark and Bank of America trimmed targets (Benchmark to $29 with a buy, BofA to $30 with neutral). Ratings remain mixed between buy/neutral, leaving analyst coverage supportive but less bullish. TickerReport
• Neutral Sentiment: Earnings call and transcript available — Investors can review management’s Q4 commentary and guidance rationale in the transcript to assess credibility of the company’s longer‑term prediction‑market strategy. Earnings Call Transcript
• Negative Sentiment: EPS missed expectations — DraftKings reported $0.36 EPS vs consensus ~ $0.45, a clear earnings miss that pressured the stock despite revenue growth. MarketBeat Earnings Report
• Negative Sentiment: Cautious FY‑2026 guidance — Management’s revenue guidance came in below consensus (company guided roughly $6.5B–$6.9B vs ~ $7.3B Street estimate), signaling slower near‑term growth and prompting downward revisions. Press Release / Slides
• Negative Sentiment: Prediction‑market risk and regulatory scrutiny — The company’s large prediction‑markets ambitions are drawing regulatory attention (CFTC) and investor skepticism about timing and profitability of that business, adding uncertainty to growth assumptions. WSJ
• Negative Sentiment: High trading volume / selling pressure — The session showed well‑above‑average volume, indicating aggressive repositioning by investors after the miss and guidance, which amplified the downward move. ProactiveInvestors

DraftKings Company Profile

DraftKings Inc is a leading digital sports entertainment and gaming company specializing in daily fantasy sports, sports betting and iGaming products. The company provides an integrated platform where users can participate in daily fantasy contests, place wagers on professional sports events, and enjoy a range of online casino-style games. DraftKings’ proprietary technology supports real-time odds, live scoring and advanced analytics to enhance the user experience across mobile and desktop applications.

Founded in 2012 by co-founders Jason Robins, Matthew Kalish and Paul Liberman, DraftKings began as a daily fantasy sports provider and rapidly expanded into regulated sports betting following legislative changes in the United States.