DraftKings (NASDAQ:DKNG) Lowered to Sell Rating by Wall Street Zen

Wall Street Zen lowered shares of DraftKings (NASDAQ:DKNG) from a hold rating to a sell rating in a report issued on Saturday morning.

A number of other brokerages have also weighed in on DKNG. UBS Group upped their target price on DraftKings from $43.00 to $49.00 and gave the stock a “buy” rating in a research note on Friday, June 5th. Benchmark lifted their price target on DraftKings from $29.00 to $30.00 and gave the company a “buy” rating in a research report on Friday, August 7th. Stifel Nicolaus cut their price objective on DraftKings from $40.00 to $38.00 and set a “buy” rating for the company in a report on Wednesday, July 22nd. Northland Securities set a $28.00 price objective on DraftKings in a report on Monday, August 10th. Finally, Guggenheim decreased their price objective on shares of DraftKings from $35.00 to $33.00 and set a “buy” rating on the stock in a research report on Monday, August 10th. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, eight have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $34.11.

DraftKings Trading Up 2.8%

Shares of DKNG stock opened at $26.14 on Friday. The company has a debt-to-equity ratio of 3.22, a quick ratio of 1.02 and a current ratio of 1.02. DraftKings has a 52-week low of $20.46 and a 52-week high of $48.78. The company has a market capitalization of $12.98 billion, a PE ratio of -68.79 and a beta of 1.66. The business’s fifty day moving average is $25.36 and its 200 day moving average is $24.75.

Insiders Place Their Bets

In other DraftKings news, insider R Stanton Dodge sold 62,500 shares of DraftKings stock in a transaction dated 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 completion of the sale, the insider owned 556,258 shares of the company’s stock, valued at $16,509,737.44. The trade was a 10.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Woodrow Levin sold 34,234 shares of the company’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $25.71, for a total value of $880,156.14. Following the completion of the transaction, the director owned 29,820 shares of the company’s stock, valued at $766,672.20. The trade was a 53.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 97,596 shares of company stock worth $2,756,991. 47.18% of the stock is owned by insiders.

Hedge Funds Weigh In On DraftKings

A number of large investors have recently modified their holdings of the company. Ascentis Independent Advisors purchased a new stake in DraftKings in the first quarter worth approximately $27,000. Basecamp Wealth Advisors LLC grew its position in DraftKings by 3,547.1% during the first quarter. Basecamp Wealth Advisors LLC now owns 1,240 shares of the company’s stock valued at $27,000 after acquiring an additional 1,206 shares during the last quarter. CoreCap Advisors LLC raised its stake in shares of DraftKings by 336.5% during the second quarter. CoreCap Advisors LLC now owns 1,148 shares of the company’s stock worth $29,000 after acquiring an additional 885 shares in the last quarter. Montag A & Associates Inc. raised its stake in shares of DraftKings by 82.5% during the fourth quarter. Montag A & Associates Inc. now owns 1,106 shares of the company’s stock worth $38,000 after acquiring an additional 500 shares in the last quarter. Finally, SHP Wealth Management purchased a new stake in shares of DraftKings in the 4th quarter valued at $42,000. 37.70% of the stock is owned by hedge funds and other institutional investors.

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.