DraftKings (NASDAQ:DKNG) Stock Price Expected to Rise, TD Cowen Analyst Says

DraftKings (NASDAQ:DKNG) had its target price increased by stock analysts at TD Cowen from $50.00 to $55.00 in a research note issued to investors on Tuesday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. TD Cowen’s target price indicates a potential upside of 29.72% from the company’s current price.

Several other research analysts have also weighed in on the company. Morgan Stanley increased their price objective on DraftKings from $47.00 to $48.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 22nd. Barclays raised their price objective on DraftKings from $45.00 to $50.00 and gave the stock an “overweight” rating in a research report on Monday. JPMorgan Chase & Co. upped their target price on shares of DraftKings from $48.00 to $54.00 and gave the company an “overweight” rating in a research report on Thursday, September 26th. Susquehanna increased their target price on shares of DraftKings from $48.00 to $50.00 and gave the stock a “positive” rating in a research note on Monday, October 7th. Finally, Needham & Company LLC reissued a “buy” rating and issued a $60.00 price target on shares of DraftKings in a research note on Friday. Three research analysts have rated the stock with a hold rating and twenty-five have issued a buy rating to the company. According to MarketBeat.com, DraftKings presently has an average rating of “Moderate Buy” and a consensus price target of $50.64.

DraftKings Trading Down 1.9 %

Shares of DKNG traded down $0.81 during midday trading on Tuesday, reaching $42.40. The company had a trading volume of 5,529,260 shares, compared to its average volume of 10,372,925. DraftKings has a 1-year low of $28.69 and a 1-year high of $49.57. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.97. The firm has a 50 day simple moving average of $37.83 and a 200-day simple moving average of $37.92. The stock has a market cap of $37.25 billion, a PE ratio of -48.18 and a beta of 1.82.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings data on Thursday, November 7th. The company reported ($0.60) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.42) by ($0.18). The firm had revenue of $1.10 billion for the quarter, compared to analyst estimates of $1.12 billion. DraftKings had a negative return on equity of 42.13% and a negative net margin of 9.06%. Research analysts forecast that DraftKings will post -0.31 EPS for the current fiscal year.

Insider Transactions at DraftKings

In related news, insider Paul Liberman sold 88,441 shares of the firm’s stock in a transaction dated Friday, October 25th. The shares were sold at an average price of $36.41, for a total value of $3,220,136.81. Following the completion of the sale, the insider now owns 1,923,483 shares in the company, valued at $70,034,016.03. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. In other news, insider Jason Robins sold 200,000 shares of the business’s stock in a transaction that occurred on Wednesday, August 21st. The shares were sold at an average price of $35.25, for a total value of $7,050,000.00. Following the completion of the transaction, the insider now owns 2,678,082 shares of the company’s stock, valued at $94,402,390.50. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Paul Liberman sold 88,441 shares of the company’s stock in a transaction that occurred on Friday, October 25th. The shares were sold at an average price of $36.41, for a total transaction of $3,220,136.81. Following the transaction, the insider now directly owns 1,923,483 shares in the company, valued at $70,034,016.03. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 1,020,536 shares of company stock valued at $39,966,465 in the last ninety days. 51.19% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of DKNG. Janney Montgomery Scott LLC increased its stake in DraftKings by 51.6% during the third quarter. Janney Montgomery Scott LLC now owns 378,227 shares of the company’s stock worth $14,826,000 after acquiring an additional 128,676 shares during the last quarter. Sanctuary Advisors LLC acquired a new stake in DraftKings during the 2nd quarter worth approximately $1,530,000. Romano Brothers AND Company purchased a new position in DraftKings in the third quarter valued at approximately $1,181,000. US Bancorp DE lifted its position in DraftKings by 110.2% during the third quarter. US Bancorp DE now owns 859,715 shares of the company’s stock valued at $33,701,000 after buying an additional 450,773 shares in the last quarter. Finally, BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp grew its stake in DraftKings by 63.6% during the second quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp now owns 81,979 shares of the company’s stock worth $3,129,000 after buying an additional 31,880 shares during the period. 37.70% of the stock is currently owned by hedge funds and other institutional investors.

DraftKings Company Profile

DraftKings Inc operates as a digital sports entertainment and gaming company in the United States and internationally. It provides online sports betting and casino, daily fantasy sports, media, and other consumer products, as well as retails sportsbooks. The company also engages in the design and development of sports betting and casino gaming software for online and retail sportsbooks, and iGaming operators.