DraftKings (NASDAQ:DKNG) Earns “Buy” Rating from Needham & Company LLC

DraftKings (NASDAQ:DKNG)‘s stock had its “buy” rating reiterated by equities research analysts at Needham & Company LLC in a report issued on Friday, Benzinga reports. They currently have a $58.00 target price on the stock. Needham & Company LLC’s price target would suggest a potential upside of 37.93% from the stock’s previous close.

Other equities research analysts also recently issued research reports about the stock. Morgan Stanley boosted their target price on shares of DraftKings from $49.00 to $50.00 and gave the company an “overweight” rating in a research note on Tuesday, April 9th. Wells Fargo & Company upped their target price on DraftKings from $39.00 to $53.00 and gave the stock an “overweight” rating in a report on Tuesday, February 20th. UBS Group increased their target price on DraftKings from $44.00 to $56.00 and gave the stock a “buy” rating in a research note on Tuesday, March 5th. Moffett Nathanson upped their price target on shares of DraftKings from $52.00 to $55.00 and gave the stock a “buy” rating in a report on Thursday, March 28th. Finally, Piper Sandler boosted their price target on DraftKings from $40.00 to $50.00 and gave the stock an “overweight” rating in a report on Tuesday, February 13th. Two equities research analysts have rated the stock with a sell rating, one has issued a hold rating and twenty-five have given a buy rating to the company. Based on data from MarketBeat, DraftKings currently has an average rating of “Moderate Buy” and a consensus price target of $47.38.

DraftKings Trading Down 2.3 %

DKNG stock traded down $0.98 during midday trading on Friday, hitting $42.05. The stock had a trading volume of 16,700,541 shares, compared to its average volume of 11,593,152. The firm has a market cap of $36.44 billion, a PE ratio of -24.59 and a beta of 1.87. DraftKings has a 12-month low of $21.07 and a 12-month high of $49.57. The company has a debt-to-equity ratio of 1.49, a current ratio of 1.34 and a quick ratio of 1.34. The company’s 50-day moving average price is $43.57 and its 200 day moving average price is $38.70.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, May 2nd. The company reported ($0.30) EPS for the quarter, missing the consensus estimate of ($0.28) by ($0.02). The company had revenue of $1.18 billion for the quarter, compared to the consensus estimate of $1.12 billion. DraftKings had a negative net margin of 21.88% and a negative return on equity of 87.24%. The firm’s revenue for the quarter was up 52.7% compared to the same quarter last year. During the same period last year, the company posted ($0.87) earnings per share. On average, equities research analysts predict that DraftKings will post -0.24 earnings per share for the current fiscal year.

Insider Activity

In other news, insider R Stanton Dodge sold 686,101 shares of the firm’s stock in a transaction dated Thursday, February 8th. The stock was sold at an average price of $43.06, for a total transaction of $29,543,509.06. Following the sale, the insider now directly owns 200,239 shares in the company, valued at approximately $8,622,291.34. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, insider R Stanton Dodge sold 686,101 shares of the firm’s stock in a transaction dated Thursday, February 8th. The shares were sold at an average price of $43.06, for a total value of $29,543,509.06. Following the completion of the sale, the insider now owns 200,239 shares in the company, valued at $8,622,291.34. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Jason Robins sold 200,000 shares of DraftKings stock in a transaction on Monday, April 22nd. The shares were sold at an average price of $40.91, for a total transaction of $8,182,000.00. Following the completion of the transaction, the insider now owns 3,043,231 shares in the company, valued at approximately $124,498,580.21. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 1,086,101 shares of company stock valued at $45,903,509. 51.19% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Highlander Capital Management LLC grew its position in DraftKings by 180.0% in the fourth quarter. Highlander Capital Management LLC now owns 700 shares of the company’s stock worth $25,000 after acquiring an additional 450 shares in the last quarter. LifeSteps Financial Inc. acquired a new position in shares of DraftKings during the first quarter worth approximately $33,000. Transcendent Capital Group LLC acquired a new position in shares of DraftKings in the 4th quarter valued at $26,000. Concord Wealth Partners grew its stake in DraftKings by 140.2% in the first quarter. Concord Wealth Partners now owns 776 shares of the company’s stock valued at $35,000 after acquiring an additional 453 shares during the period. Finally, Montag A & Associates Inc. acquired a new position in DraftKings during the 4th quarter worth approximately $29,000. Institutional investors own 37.70% of the company’s stock.

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.