DraftKings (NASDAQ:DKNG) Stock Rating Lowered by Wall Street Zen

DraftKings (NASDAQ:DKNG) was downgraded by research analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a note issued to investors on Saturday.

A number of other equities analysts have also recently weighed in on DKNG. Wells Fargo & Company lowered their price target on DraftKings from $32.00 to $29.00 and set an “overweight” rating for the company in a report on Monday, July 20th. Moffett Nathanson dropped their price objective on shares of DraftKings from $27.00 to $25.00 in a research report on Wednesday, July 15th. Sanford C. Bernstein set a $27.00 price objective on shares of DraftKings in a research report on Thursday, August 6th. Raymond James Financial upgraded shares of DraftKings from a “market perform” rating to an “outperform” rating in a report on Friday, April 24th. Finally, Stifel Nicolaus decreased their price objective on shares of DraftKings from $40.00 to $38.00 and set a “buy” rating for the company in a research report on Wednesday, July 22nd. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, eight have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $34.11.

DraftKings Stock Performance

NASDAQ:DKNG opened at $26.14 on Friday. The company’s 50-day moving average price is $25.36 and its 200-day moving average price is $24.71. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.22. The company has a market cap of $12.98 billion, a P/E ratio of -68.79 and a beta of 1.66. DraftKings has a twelve month low of $20.46 and a twelve month high of $48.78.

Insider Buying and Selling at DraftKings

In other news, insider R Stanton Dodge sold 62,500 shares of the firm’s stock in a transaction on Thursday, June 11th. The shares were sold at an average price of $29.68, for a total value of $1,855,000.00. Following the completion of the sale, the insider owned 556,258 shares in the company, valued at approximately $16,509,737.44. This trade represents a 10.10% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 47.18% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On DraftKings

A number of institutional investors and hedge funds have recently made changes to their positions in DKNG. Viking Global Investors LP acquired a new stake in DraftKings during the 3rd quarter valued at $561,125,000. Capital World Investors raised its holdings in shares of DraftKings by 181.4% in the fourth quarter. Capital World Investors now owns 18,626,429 shares of the company’s stock worth $641,867,000 after acquiring an additional 12,008,357 shares during the last quarter. Janus Henderson Group PLC raised its holdings in shares of DraftKings by 50.8% in the fourth quarter. Janus Henderson Group PLC now owns 25,313,909 shares of the company’s stock worth $858,893,000 after acquiring an additional 8,524,923 shares during the last quarter. Norges Bank purchased a new stake in shares of DraftKings in the fourth quarter valued at $284,466,000. Finally, Spruce House Investment Management LLC lifted its position in shares of DraftKings by 129.6% in the first quarter. Spruce House Investment Management LLC now owns 9,650,000 shares of the company’s stock valued at $208,633,000 after acquiring an additional 5,446,166 shares in the last quarter. 37.70% of the stock is owned by institutional investors and hedge funds.

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.