DraftKings (NASDAQ:DKNG) Price Target Cut to $30.00 by Analysts at Needham & Company LLC

DraftKings (NASDAQ:DKNG) had its price objective dropped by investment analysts at Needham & Company LLC from $35.00 to $30.00 in a research note issued to investors on Monday, Benzinga reports. The firm presently has a “buy” rating on the stock. Needham & Company LLC‘s price target suggests a potential upside of 43.47% from the stock’s previous close.

Several other analysts also recently weighed in on DKNG. Deutsche Bank Aktiengesellschaft boosted their price objective on DraftKings from $26.00 to $28.00 and gave the company a “hold” rating in a research report on Thursday, July 9th. Moffett Nathanson restated a “neutral” rating and issued a $22.00 price objective on shares of DraftKings in a research report on Thursday, October 22nd. Barclays cut their price target on shares of DraftKings from $35.00 to $34.00 and set an “overweight” rating on the stock in a report on Monday, August 10th. Stifel Nicolaus reduced their price objective on shares of DraftKings from $36.00 to $32.00 and set a “buy” rating on the stock in a research report on Monday, October 26th. Finally, Sanford C. Bernstein upped their price objective on shares of DraftKings from $27.00 to $29.00 and gave the stock an “outperform” rating in a report on Thursday, September 3rd. One equities research analyst has rated the stock with a Strong Buy rating, thirty have given a Buy rating, six have issued a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, DraftKings currently has a consensus rating of “Moderate Buy” and a consensus target price of $32.86.

DraftKings Stock Performance

Shares of DKNG opened at $20.91 on Monday. The firm’s 50 day simple moving average is $21.87 and its 200 day simple moving average is $24.36. The company has a market capitalization of $10.38 billion, a P/E ratio of -55.03, a P/E/G ratio of 2.36 and a beta of 1.65. The company has a debt-to-equity ratio of 3.22, a current ratio of 1.02 and a quick ratio of 1.02. DraftKings has a 1-year low of $18.35 and a 1-year high of $36.98.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Friday, August 7th. The company reported $0.09 EPS for the quarter, topping analysts’ consensus estimates of $0.02 by $0.07. DraftKings had a negative net margin of 2.68% and a negative return on equity of 11.26%. The business had revenue of $1.44 billion during the quarter, compared to analysts’ expectations of $1.51 billion. During the same quarter in the previous year, the company earned $0.30 EPS. The business’s quarterly revenue was down 4.6% compared to the same quarter last year. Sell-side analysts forecast that DraftKings will post 0.36 earnings per share for the current fiscal year.

Insider Activity at DraftKings

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

Hedge Funds Weigh In On DraftKings

Several large investors have recently made changes to their positions in DKNG. Janus Henderson Group PLC increased its holdings in shares of DraftKings by 9.3% during the first quarter. Janus Henderson Group PLC now owns 27,665,699 shares of the company’s stock valued at $588,288,000 after acquiring an additional 2,351,790 shares in the last quarter. Spruce House Investment Management LLC increased its position in shares of DraftKings by 129.6% during the first quarter. Spruce House Investment Management LLC now owns 9,650,000 shares of the company’s stock valued at $208,633,000 after acquiring an additional 5,446,166 shares in the last quarter. Swiss National Bank raised its holdings in DraftKings by 7.4% in the 1st quarter. Swiss National Bank now owns 1,314,864 shares of the company’s stock worth $28,427,000 after acquiring an additional 90,400 shares during the last quarter. Bank of New York Mellon Corp bought a new position in DraftKings in the 2nd quarter valued at approximately $24,014,000. Finally, Quantinno Capital Management LP boosted its stake in DraftKings by 273.9% during the 1st quarter. Quantinno Capital Management LP now owns 898,241 shares of the company’s stock valued at $19,420,000 after purchasing an additional 658,006 shares during the last quarter. 37.70% of the stock is currently owned by hedge funds and other institutional investors.

DraftKings Company Profile

DraftKings Inc is a digital sports entertainment and gaming company that operates online and mobile platforms for sports betting, casino gaming and daily fantasy sports. Its offerings include the DraftKings Sportsbook, DraftKings Casino and daily fantasy contests covering a range of professional and collegiate sports.

The company also provides related entertainment and media content through DraftKings Network, along with free-to-play games, promotions and other interactive products designed to complement its sports and gaming platforms.