DraftKings (NASDAQ:DKNG) Price Target Cut to $50.00 by Analysts at Bank of America

DraftKings (NASDAQ:DKNG) had its target price lowered by Bank of America from $54.00 to $50.00 in a report released on Monday morning, Benzinga reports. The firm currently has a buy rating on the stock.

A number of other analysts have also weighed in on the company. Truist Financial lowered their target price on DraftKings from $55.00 to $53.00 and set a buy rating for the company in a research note on Thursday, July 18th. Morgan Stanley lifted their price objective on DraftKings from $49.00 to $50.00 and gave the stock an overweight rating in a research report on Tuesday, April 9th. Macquarie lowered their price objective on DraftKings from $54.00 to $52.00 and set an outperform rating for the company in a research report on Thursday, July 18th. Stifel Nicolaus reiterated a buy rating and issued a $50.00 price objective on shares of DraftKings in a research report on Friday, July 5th. Finally, Berenberg Bank upgraded DraftKings to a hold rating in a research report on Friday, May 31st. Two research analysts have rated the stock with a sell rating, two have issued a hold rating and twenty-six have given a buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of Moderate Buy and an average price target of $49.67.

DraftKings Stock Performance

Shares of NASDAQ:DKNG opened at $35.86 on Monday. DraftKings has a twelve month low of $25.41 and a twelve month high of $49.57. The firm has a market cap of $31.17 billion, a PE ratio of -30.39 and a beta of 1.81. The company has a debt-to-equity ratio of 1.51, a quick ratio of 1.34 and a current ratio of 1.34. The business has a fifty day moving average of $38.77 and a 200-day moving average of $40.89.

DraftKings (NASDAQ:DKNG) last announced its earnings results on Thursday, May 2nd. The company reported ($0.30) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.28) by ($0.02). DraftKings had a negative net margin of 13.45% and a negative return on equity of 62.74%. The business had revenue of $1.18 billion during the quarter, compared to analyst estimates of $1.12 billion. During the same quarter last year, the business posted ($0.87) earnings per share. The business’s quarterly revenue was up 52.7% compared to the same quarter last year. On average, equities research analysts predict that DraftKings will post -0.29 EPS for the current fiscal year.

Insider Activity

In other news, insider Jason Robins sold 200,000 shares of DraftKings stock in a transaction dated Tuesday, May 21st. The stock was sold at an average price of $43.59, for a total transaction of $8,718,000.00. Following the transaction, the insider now owns 2,668,954 shares in the company, valued at approximately $116,339,704.86. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In other DraftKings news, Director Jocelyn Moore sold 1,450 shares of the business’s stock in a transaction that occurred on Wednesday, June 5th. The stock was sold at an average price of $35.92, for a total value of $52,084.00. Following the sale, the director now owns 6,814 shares in the company, valued at approximately $244,758.88. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Jason Robins sold 200,000 shares of the business’s stock in a transaction that occurred on Tuesday, May 21st. The shares were sold at an average price of $43.59, for a total value of $8,718,000.00. Following the completion of the sale, the insider now owns 2,668,954 shares in the company, valued at approximately $116,339,704.86. The disclosure for this sale can be found here. Insiders have sold 1,383,546 shares of company stock worth $55,279,617 in the last 90 days. Corporate insiders own 51.19% of the company’s stock.

Institutional Investors Weigh In On DraftKings

Several institutional investors have recently bought and sold shares of the company. McAdam LLC lifted its stake in DraftKings by 10.3% in the 2nd quarter. McAdam LLC now owns 7,469 shares of the company’s stock valued at $285,000 after acquiring an additional 696 shares in the last quarter. Traynor Capital Management Inc. increased its position in shares of DraftKings by 4.0% during the 2nd quarter. Traynor Capital Management Inc. now owns 13,947 shares of the company’s stock worth $532,000 after purchasing an additional 530 shares during the last quarter. Stableford Capital II LLC increased its position in shares of DraftKings by 234.1% during the 2nd quarter. Stableford Capital II LLC now owns 55,412 shares of the company’s stock worth $2,125,000 after purchasing an additional 38,827 shares during the last quarter. Fifth Third Bancorp increased its position in shares of DraftKings by 93.5% during the 2nd quarter. Fifth Third Bancorp now owns 1,790 shares of the company’s stock worth $68,000 after purchasing an additional 865 shares during the last quarter. Finally, Neo Ivy Capital Management acquired a new position in shares of DraftKings during the 2nd quarter worth approximately $1,997,000. 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.