DraftKings (NASDAQ:DKNG) Price Target Cut to $37.00 by Analysts at BTIG Research

DraftKings (NASDAQ:DKNG) had its target price cut by BTIG Research from $45.00 to $37.00 in a research note published on Friday morning,Benzinga reports. They currently have a buy rating on the stock.

Other research analysts have also recently issued research reports about the stock. JPMorgan Chase & Co. dropped their price objective on shares of DraftKings from $51.00 to $42.00 and set an “overweight” rating for the company in a report on Monday, November 10th. Macquarie Infrastructure decreased their price target on shares of DraftKings from $50.00 to $48.00 and set an “outperform” rating for the company in a research report on Monday, November 10th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of DraftKings in a research report on Wednesday, January 21st. Stifel Nicolaus reduced their price objective on DraftKings from $46.00 to $44.00 and set a “buy” rating on the stock in a research note on Friday, January 30th. Finally, Benchmark decreased their target price on DraftKings from $37.00 to $29.00 and set a “buy” rating for the company in a report on Friday. Twenty-three research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, DraftKings presently has a consensus rating of “Moderate Buy” and an average target price of $44.14.

DraftKings Stock Performance

Shares of DraftKings stock opened at $21.76 on Friday. The company has a debt-to-equity ratio of 2.51, a current ratio of 1.10 and a quick ratio of 1.09. The stock has a market capitalization of $10.83 billion, a price-to-earnings ratio of -544.00, a price-to-earnings-growth ratio of 0.50 and a beta of 1.67. The business has a 50-day moving average of $32.22 and a 200 day moving average of $36.25. DraftKings has a 12 month low of $21.01 and a 12 month high of $53.61.

Insider Buying and Selling

In related news, insider R Stanton Dodge sold 52,777 shares of DraftKings stock in a transaction on Tuesday, January 20th. The shares were sold at an average price of $32.01, for a total transaction of $1,689,391.77. Following the sale, the insider directly owned 500,000 shares in the company, valued at $16,005,000. This trade represents a 9.55% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 51.19% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On DraftKings

Hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. lifted its holdings in shares of DraftKings by 3.1% in the 4th quarter. Vanguard Group Inc. now owns 44,758,204 shares of the company’s stock valued at $1,542,368,000 after purchasing an additional 1,354,457 shares during the last quarter. Capital World Investors increased its position in DraftKings by 181.4% during the fourth quarter. Capital World Investors now owns 18,626,429 shares of the company’s stock worth $641,867,000 after buying an additional 12,008,357 shares during the period. Viking Global Investors LP purchased a new stake in DraftKings in the third quarter valued at approximately $561,125,000. AQR Capital Management LLC lifted its stake in DraftKings by 63.5% in the third quarter. AQR Capital Management LLC now owns 11,685,672 shares of the company’s stock valued at $437,044,000 after buying an additional 4,538,007 shares during the last quarter. Finally, Geode Capital Management LLC boosted its holdings in shares of DraftKings by 2.1% in the fourth quarter. Geode Capital Management LLC now owns 9,494,860 shares of the company’s stock valued at $326,394,000 after acquiring an additional 192,160 shares during the period. Hedge funds and other institutional investors own 37.70% of the company’s stock.

DraftKings News Summary

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: Q4 revenue and margin progress — DraftKings reported +43% year‑over‑year revenue and said it achieved record revenue and adjusted EBITDA, signaling strong top‑line growth and improving operating results. DraftKings Reports Fourth Quarter Revenue Growth of 43%
• Positive Sentiment: Some analysts remain constructive — BTIG kept a “buy” rating despite cutting the price target to $37, still implying substantial upside from current levels, which can provide a floor for longer‑term buyers. Benzinga
• Neutral Sentiment: Mixed analyst updates — Benchmark and Bank of America trimmed targets (Benchmark to $29 with a buy, BofA to $30 with neutral). Ratings remain mixed between buy/neutral, leaving analyst coverage supportive but less bullish. TickerReport
• Neutral Sentiment: Earnings call and transcript available — Investors can review management’s Q4 commentary and guidance rationale in the transcript to assess credibility of the company’s longer‑term prediction‑market strategy. Earnings Call Transcript
• Negative Sentiment: EPS missed expectations — DraftKings reported $0.36 EPS vs consensus ~ $0.45, a clear earnings miss that pressured the stock despite revenue growth. MarketBeat Earnings Report
• Negative Sentiment: Cautious FY‑2026 guidance — Management’s revenue guidance came in below consensus (company guided roughly $6.5B–$6.9B vs ~ $7.3B Street estimate), signaling slower near‑term growth and prompting downward revisions. Press Release / Slides
• Negative Sentiment: Prediction‑market risk and regulatory scrutiny — The company’s large prediction‑markets ambitions are drawing regulatory attention (CFTC) and investor skepticism about timing and profitability of that business, adding uncertainty to growth assumptions. WSJ
• Negative Sentiment: High trading volume / selling pressure — The session showed well‑above‑average volume, indicating aggressive repositioning by investors after the miss and guidance, which amplified the downward move. ProactiveInvestors

About DraftKings

DraftKings Inc is a leading digital sports entertainment and gaming company specializing in daily fantasy sports, sports betting and iGaming products. The company provides an integrated platform where users can participate in daily fantasy contests, place wagers on professional sports events, and enjoy a range of online casino-style games. DraftKings’ proprietary technology supports real-time odds, live scoring and advanced analytics to enhance the user experience across mobile and desktop applications.

Founded in 2012 by co-founders Jason Robins, Matthew Kalish and Paul Liberman, DraftKings began as a daily fantasy sports provider and rapidly expanded into regulated sports betting following legislative changes in the United States.