DraftKings (NASDAQ:DKNG) Receives “Buy” Rating from Benchmark

Benchmark reaffirmed their buy rating on shares of DraftKings (NASDAQ:DKNG) in a research report released on Wednesday morning, Benzinga reports. They currently have a $50.00 target price on the stock.

Other analysts have also recently issued reports about the company. Stifel Nicolaus raised DraftKings from a hold rating to a buy rating and upped their price target for the company from $40.00 to $45.00 in a research note on Friday, January 19th. JPMorgan Chase & Co. reaffirmed an overweight rating and issued a $55.00 price target on shares of DraftKings in a research note on Thursday, March 28th. Bank Of America (Bofa) upped their price target on DraftKings from $45.00 to $50.00 in a research note on Thursday, February 15th. Truist Financial reiterated a buy rating and issued a $55.00 price objective (up from $45.00) on shares of DraftKings in a research report on Tuesday, February 20th. Finally, The Goldman Sachs Group started coverage on DraftKings in a research report on Tuesday, April 16th. They issued a buy rating and a $60.00 price objective for the company. Two 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 stock. According to data from MarketBeat.com, the company presently has a consensus rating of Moderate Buy and an average target price of $47.31.

DraftKings Stock Performance

Shares of NASDAQ:DKNG opened at $43.13 on Wednesday. The stock has a market capitalization of $37.38 billion, a P/E ratio of -24.65 and a beta of 1.86. DraftKings has a 1-year low of $20.26 and a 1-year high of $49.57. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 1.49. The business has a 50-day moving average price of $43.54 and a two-hundred day moving average price of $38.35.

DraftKings (NASDAQ:DKNG) last announced its quarterly earnings results on Friday, February 16th. The company reported ($0.10) EPS for the quarter, missing analysts’ consensus estimates of $0.06 by ($0.16). The company had revenue of $1.23 billion during the quarter, compared to the consensus estimate of $1.24 billion. DraftKings had a negative net margin of 21.88% and a negative return on equity of 87.24%. The business’s revenue was up 43.9% compared to the same quarter last year. During the same period last year, the company earned ($0.53) earnings per share. Equities analysts predict that DraftKings will post -0.24 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Jason Robins sold 200,000 shares of the stock in a transaction that occurred on Monday, April 22nd. The stock was sold at an average price of $40.91, for a total value of $8,182,000.00. Following the completion of the sale, the insider now owns 3,043,231 shares of the company’s stock, valued at approximately $124,498,580.21. The transaction was disclosed in a legal filing with the SEC, which is available at this link. In related news, insider Jason Robins sold 200,000 shares of the stock in a transaction on Monday, April 22nd. The stock was sold at an average price of $40.91, for a total value of $8,182,000.00. Following the sale, the insider now owns 3,043,231 shares in the company, valued at approximately $124,498,580.21. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider R Stanton Dodge sold 686,101 shares of the stock in a transaction on 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 approximately $8,622,291.34. The disclosure for this sale can be found here. Insiders sold a total of 1,596,101 shares of company stock valued at $66,303,509 in the last quarter. 51.19% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its position in DraftKings by 6.0% during the 4th quarter. Vanguard Group Inc. now owns 39,263,918 shares of the company’s stock worth $1,384,053,000 after buying an additional 2,225,759 shares during the period. Jericho Capital Asset Management L.P. increased its position in DraftKings by 39.4% during the 3rd quarter. Jericho Capital Asset Management L.P. now owns 7,153,967 shares of the company’s stock worth $210,613,000 after buying an additional 2,022,000 shares during the period. Norges Bank bought a new position in DraftKings during the 4th quarter worth $192,140,000. Ameriprise Financial Inc. increased its position in DraftKings by 345.7% during the 3rd quarter. Ameriprise Financial Inc. now owns 4,440,494 shares of the company’s stock worth $130,742,000 after buying an additional 3,444,107 shares during the period. Finally, Massachusetts Financial Services Co. MA increased its position in shares of DraftKings by 21.4% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 4,424,931 shares of the company’s stock worth $155,979,000 after purchasing an additional 781,058 shares during the period. 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.