Stifel Nicolaus Reiterates Buy Rating for DraftKings (NASDAQ:DKNG)

Stifel Nicolaus reaffirmed their buy rating on shares of DraftKings (NASDAQ:DKNG) in a research report sent to investors on Monday morning, Benzinga reports. They currently have a $48.00 price objective on the stock, down from their prior price objective of $50.00.

Several other equities research analysts also recently weighed in on DKNG. Bank of America dropped their target price on shares of DraftKings from $54.00 to $50.00 and set a buy rating for the company in a research report on Monday, July 22nd. Needham & Company LLC reiterated a buy rating and set a $60.00 target price on shares of DraftKings in a research note on Monday. Guggenheim decreased their price target on shares of DraftKings from $53.00 to $52.00 and set a buy rating for the company in a report on Wednesday, June 26th. Benchmark dropped their price target on DraftKings from $52.00 to $41.00 and set a buy rating on the stock in a research report on Friday, August 2nd. Finally, Truist Financial dropped their target price on DraftKings from $55.00 to $53.00 and set a buy rating on the stock in a research report on Thursday, July 18th. One investment analyst has rated the stock with a sell rating, two have given a hold rating and twenty-five have given a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of Moderate Buy and a consensus target price of $49.25.

DraftKings Stock Performance

NASDAQ:DKNG opened at $30.54 on Monday. The firm has a 50-day moving average of $37.23 and a two-hundred day moving average of $40.80. The company has a debt-to-equity ratio of 1.51, a current ratio of 1.34 and a quick ratio of 1.34. The stock has a market cap of $26.55 billion, a P/E ratio of -25.88 and a beta of 1.81. DraftKings has a 1-year low of $25.41 and a 1-year high of $49.57.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings results on Thursday, August 1st. The company reported $0.12 EPS for the quarter, beating analysts’ consensus estimates of ($0.01) by $0.13. DraftKings had a negative return on equity of 49.31% and a negative net margin of 9.45%. The firm had revenue of $1.10 billion during the quarter, compared to the consensus estimate of $1.11 billion. During the same quarter in the prior year, the business posted ($0.17) earnings per share. DraftKings’s revenue for the quarter was up 26.2% on a year-over-year basis. On average, research analysts expect that DraftKings will post -0.31 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Paul Liberman sold 63,206 shares of the firm’s stock in a transaction that occurred on Monday, July 15th. The shares were sold at an average price of $39.00, for a total transaction of $2,465,034.00. Following the completion of the sale, the insider now directly owns 1,716,406 shares in the company, valued at $66,939,834. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. In other DraftKings news, insider Paul Liberman sold 63,206 shares of the company’s stock in a transaction dated Monday, July 15th. The shares were sold at an average price of $39.00, for a total transaction of $2,465,034.00. Following the completion of the sale, the insider now directly owns 1,716,406 shares of the company’s stock, valued at $66,939,834. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, Director Harry Sloan sold 250,000 shares of DraftKings stock in a transaction that occurred on Friday, June 14th. The stock was sold at an average price of $38.15, for a total transaction of $9,537,500.00. Following the completion of the transaction, the director now directly owns 250,000 shares in the company, valued at $9,537,500. The disclosure for this sale can be found here. Insiders have sold 1,183,546 shares of company stock worth $46,745,617 in the last ninety days. 51.19% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On DraftKings

Several hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. lifted its position in shares of DraftKings by 1.9% in the first quarter. Vanguard Group Inc. now owns 40,011,855 shares of the company’s stock worth $1,816,938,000 after purchasing an additional 747,937 shares in the last quarter. Norges Bank purchased a new stake in DraftKings in the 4th quarter worth approximately $192,140,000. Massachusetts Financial Services Co. MA boosted its stake in shares of DraftKings by 21.4% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 4,424,931 shares of the company’s stock valued at $155,979,000 after buying an additional 781,058 shares during the period. First Trust Advisors LP grew its holdings in shares of DraftKings by 148.2% during the 4th quarter. First Trust Advisors LP now owns 4,235,008 shares of the company’s stock valued at $149,284,000 after acquiring an additional 2,528,503 shares in the last quarter. Finally, Lord Abbett & CO. LLC grew its holdings in shares of DraftKings by 20.6% during the 1st quarter. Lord Abbett & CO. LLC now owns 3,884,680 shares of the company’s stock valued at $176,403,000 after acquiring an additional 663,427 shares in the last quarter. 37.70% of the stock is owned by hedge funds and other institutional investors.

About DraftKings

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.