816,815 Shares in DraftKings Inc. $DKNG Purchased by Renaissance Technologies LLC

Renaissance Technologies LLC acquired a new stake in DraftKings Inc. (NASDAQ:DKNG) during the first quarter, HoldingsChannel reports. The fund acquired 816,815 shares of the company’s stock, valued at approximately $17,660,000.

Several other large investors have also recently added to or reduced their stakes in DKNG. Ascentis Independent Advisors purchased a new position in DraftKings in the first quarter worth $27,000. Montag A & Associates Inc. grew its position in shares of DraftKings by 82.5% in the fourth quarter. Montag A & Associates Inc. now owns 1,106 shares of the company’s stock valued at $38,000 after purchasing an additional 500 shares during the last quarter. SHP Wealth Management purchased a new stake in shares of DraftKings in the fourth quarter valued at $42,000. Root Financial Partners LLC increased its position in DraftKings by 208.0% during the 1st quarter. Root Financial Partners LLC now owns 2,775 shares of the company’s stock worth $60,000 after purchasing an additional 1,874 shares in the last quarter. Finally, Advisory Services Network LLC purchased a new stake in shares of DraftKings during the third quarter worth about $62,000. 37.70% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about DraftKings

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: Record political spending supports long-term regulatory strategy. DraftKings and other online sportsbooks have committed at least $72 million through a bipartisan super PAC to support candidates favoring their preferred sports-betting regulations. The spending highlights the importance of state-level legalization and rulemaking to DraftKings’ future growth, although it also represents a significant investment with uncertain returns. DraftKings Is Up 7.5% After Record $72 Million Midterm Push For Favorable Betting Rules
• Positive Sentiment: Delta partnership expands consumer reach. DraftKings and Delta Air Lines will offer a free-to-play sports knowledge contest through Delta’s in-flight entertainment. The arrangement does not involve wagering, but it could increase DraftKings’ visibility, user engagement and customer-acquisition opportunities. Delta, DraftKings Partner on Free-to-Play Sports Knowledge Contest
• Neutral Sentiment: Valuation remains contested. Despite a roughly 50% five-year share-price decline, valuation measures do not present DraftKings as an obvious bargain. Investors continue to balance its growth potential against competition, regulatory expenses and profitability risks. DraftKings Stock Still Looks Below Fair Value As Shares Fell 50%
• Negative Sentiment: Analysts are cautious ahead of earnings. Recent previews indicate DraftKings lacks the typical factors associated with an earnings beat, raising concerns about results and guidance in the upcoming report. The company’s last quarterly release also missed consensus EPS estimates despite revenue exceeding expectations, reinforcing investor sensitivity to profitability. Analysts Estimate DraftKings to Report a Decline in Earnings

DraftKings Trading Down 3.4%

Shares of DKNG opened at $23.72 on Friday. DraftKings Inc. has a 12 month low of $20.46 and a 12 month high of $48.78. The stock’s 50-day moving average is $25.56 and its two-hundred day moving average is $25.37. The company has a debt-to-equity ratio of 3.03, a current ratio of 1.02 and a quick ratio of 1.02. The stock has a market cap of $11.77 billion, a PE ratio of 395.33 and a beta of 1.65.

DraftKings (NASDAQ:DKNG) last announced its earnings results on Friday, May 8th. The company reported $0.20 EPS for the quarter, missing the consensus estimate of $0.22 by ($0.02). The company had revenue of $1.65 billion for the quarter, compared to analysts’ expectations of $1.63 billion. DraftKings had a net margin of 0.93% and a return on equity of 13.51%. The business’s quarterly revenue was up 16.8% compared to the same quarter last year. During the same quarter in the previous year, the business posted ($0.07) earnings per share. Equities analysts forecast that DraftKings Inc. will post 0.54 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Several research firms have commented on DKNG. Citizens Jmp lifted their price target on DraftKings from $34.00 to $36.00 and gave the company a “market outperform” rating in a report on Thursday, June 25th. Citigroup reissued a “market outperform” rating on shares of DraftKings in a research report on Monday, June 22nd. Weiss Ratings lowered shares of DraftKings from a “sell (d+)” rating to a “sell (d)” rating in a research report on Monday, May 11th. TD Cowen upped their price target on DraftKings from $30.00 to $35.00 and gave the stock a “buy” rating in a research note on Friday, July 10th. Finally, JPMorgan Chase & Co. lifted their price objective on DraftKings from $31.00 to $34.00 and gave the company an “overweight” rating in a research note on Wednesday, July 15th. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, DraftKings has an average rating of “Moderate Buy” and a consensus price target of $34.37.

Insiders Place Their Bets

In related news, Director Woodrow Levin sold 34,234 shares of the firm’s stock in a transaction on Monday, May 18th. The shares were sold at an average price of $25.71, for a total transaction of $880,156.14. Following the completion of the sale, the director directly owned 29,820 shares of the company’s stock, valued at approximately $766,672.20. This trade represents a 53.45% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider R Stanton Dodge sold 62,500 shares of DraftKings stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $29.68, for a total transaction of $1,855,000.00. Following the sale, the insider directly owned 556,258 shares in the company, valued at $16,509,737.44. This trade represents a 10.10% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 97,596 shares of company stock worth $2,756,991. Corporate insiders own 47.18% of the company’s stock.

About DraftKings

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.