DraftKings (NASDAQ:DKNG) Trading Down 3.7% – Here’s Why

DraftKings Inc. (NASDAQ:DKNG) was down 3.7% during trading on Thursday . The stock traded as low as $23.41 and last traded at $23.4240. 3,569,200 shares were traded during mid-day trading, a decline of 73% from the average session volume of 13,214,909 shares. The stock had previously closed at $24.33.

Wall Street Analyst Weigh In

Several research firms recently issued reports on DKNG. Citizens Jmp increased their target price on shares of DraftKings from $36.00 to $37.00 and gave the stock a “market outperform” rating in a report on Tuesday, September 8th. Truist Financial set a $29.00 target price on shares of DraftKings in a report on Monday, August 10th. Zacks Research upgraded DraftKings from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 20th. Guggenheim cut 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. Finally, Sanford C. Bernstein increased their price target on DraftKings from $27.00 to $29.00 and gave the stock an “outperform” rating in a report on Thursday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating, thirty have assigned a Buy rating, eight have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $34.39.

DraftKings Stock Down 6.0%

The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 3.22. The company has a market cap of $11.35 billion, a P/E ratio of -60.32, a P/E/G ratio of 2.01 and a beta of 1.63. The business’s 50 day moving average is $24.49 and its 200 day moving average is $24.59.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings data on Friday, August 7th. The company reported $0.09 earnings per share for the quarter, beating analysts’ consensus estimates of $0.02 by $0.07. DraftKings had a negative return on equity of 11.26% and a negative net margin of 2.68%.The company had revenue of $1.44 billion for the quarter, compared to the consensus estimate of $1.51 billion. During the same quarter last year, the company earned $0.30 earnings per share. The firm’s revenue for the quarter was down 4.6% compared to the same quarter last year. As a group, equities analysts anticipate that DraftKings Inc. will post 0.49 earnings per share for the current fiscal year.

Insider Buying and Selling at DraftKings

In related news, Director Jocelyn Moore sold 10,759 shares of the business’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $24.05, for a total transaction of $258,753.95. Following the transaction, the director directly owned 1,881 shares in the company, valued at $45,238.05. The trade was a 85.12% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 47.18% of the stock is owned by insiders.

Institutional Trading of DraftKings

A number of institutional investors have recently bought and sold shares of DKNG. Global Retirement Partners LLC increased its stake in shares of DraftKings by 3.8% in the 4th quarter. Global Retirement Partners LLC now owns 10,365 shares of the company’s stock valued at $357,000 after buying an additional 379 shares during the period. Transatlantique Private Wealth LLC grew its holdings in DraftKings by 1.7% during the fourth quarter. Transatlantique Private Wealth LLC now owns 26,783 shares of the company’s stock valued at $923,000 after purchasing an additional 437 shares during the period. Harbour Investments Inc. grew its holdings in shares of DraftKings by 32.7% in the 4th quarter. Harbour Investments Inc. now owns 2,680 shares of the company’s stock valued at $92,000 after buying an additional 660 shares during the period. TD Private Client Wealth LLC increased its holdings in shares of DraftKings by 62.3% in the fourth quarter. TD Private Client Wealth LLC now owns 1,891 shares of the company’s stock worth $65,000 after acquiring an additional 726 shares in the last quarter. Finally, CoreCap Advisors LLC increased its stake in DraftKings by 336.5% during the 2nd quarter. CoreCap Advisors LLC now owns 1,148 shares of the company’s stock worth $29,000 after purchasing an additional 885 shares in the last quarter. 37.70% of the stock is currently owned by institutional investors and hedge funds.

DraftKings Company Profile

DraftKings Inc is a digital sports entertainment and gaming company that operates online sports betting, iGaming and daily fantasy sports platforms. Its products enable customers to place bets on professional and collegiate sports, play online casino games where permitted, and participate in fantasy contests across a range of sports.

The company also offers related services, including retail sportsbooks in select jurisdictions and sports media content through DraftKings Network. Its offerings are available in U.S.