DraftKings (NASDAQ:DKNG) Stock Gets Price Target Reduction from Needham & Company LLC

DraftKings (NASDAQ:DKNG) had its price target lowered by analysts at Needham & Company LLC from $35.00 to $30.00 in a research note issued on Monday, Benzinga reports. The firm presently has a “buy” rating on the stock. Needham & Company LLC‘s price target suggests a potential upside of 43.47% from the stock’s previous close.

Several other equities research analysts also recently commented on DKNG. Wolfe Research assumed coverage on shares of DraftKings in a research report on Wednesday, September 2nd. They set an “outperform” rating and a $40.00 target price for the company. Canaccord Genuity Group cut their price target on DraftKings from $44.00 to $40.00 and set a “buy” rating for the company in a research note on Friday, October 23rd. Barclays decreased their price objective on DraftKings from $35.00 to $34.00 and set an “overweight” rating for the company in a report on Monday, August 10th. TD Cowen increased their price objective on DraftKings from $30.00 to $35.00 and gave the stock a “buy” rating in a research note on Friday, July 10th. Finally, Benchmark raised their target price on DraftKings from $29.00 to $30.00 and gave the company a “buy” rating in a report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, thirty have given a Buy rating, six have given a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $32.86.

DraftKings Price Performance

Shares of NASDAQ DKNG opened at $20.91 on Monday. The firm has a market cap of $10.38 billion, a PE ratio of -55.03, a P/E/G ratio of 2.36 and a beta of 1.65. DraftKings has a 12-month low of $18.35 and a 12-month high of $36.98. The company’s fifty day simple moving average is $21.87 and its 200 day simple moving average is $24.36. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 3.22.

DraftKings (NASDAQ:DKNG) last issued its earnings results on Friday, August 7th. The company reported $0.09 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.02 by $0.07. DraftKings had a negative return on equity of 11.26% and a negative net margin of 2.68%. The company had revenue of $1.44 billion for the quarter, compared to analysts’ expectations of $1.51 billion. During the same period last year, the business earned $0.30 EPS. DraftKings’s quarterly revenue was down 4.6% compared to the same quarter last year. As a group, sell-side analysts forecast that DraftKings will post 0.36 earnings per share for the current fiscal year.

Insider Buying and Selling

In other DraftKings news, Director Jocelyn Moore sold 10,759 shares of the business’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $24.05, for a total value of $258,753.95. Following the sale, the director directly owned 1,881 shares in the company, valued at $45,238.05. The trade was a 85.12% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 47.18% of the company’s stock.

Institutional Investors Weigh In On DraftKings

A number of institutional investors and hedge funds have recently modified their holdings of the company. Integrity Advisory Solutions LLC boosted its holdings in DraftKings by 8.2% in the 3rd quarter. Integrity Advisory Solutions LLC now owns 10,571 shares of the company’s stock valued at $201,000 after purchasing an additional 803 shares during the period. Mirae Asset Global Investments Co. Ltd. purchased a new stake in shares of DraftKings in the third quarter worth $48,000. International Assets Investment Management LLC raised its position in shares of DraftKings by 191.2% in the third quarter. International Assets Investment Management LLC now owns 60,000 shares of the company’s stock worth $1,140,000 after buying an additional 39,396 shares in the last quarter. Partners Wealth Management LLC purchased a new stake in shares of DraftKings in the third quarter worth $239,000. Finally, Independence Bank of Kentucky boosted its stake in DraftKings by 438.0% during the third quarter. Independence Bank of Kentucky now owns 20,601 shares of the company’s stock valued at $391,000 after buying an additional 16,772 shares during the period. 37.70% of the stock is owned by hedge funds and other institutional investors.

About DraftKings

DraftKings Inc is a digital sports entertainment and gaming company that operates online and mobile platforms for sports betting, casino gaming and daily fantasy sports. Its offerings include the DraftKings Sportsbook, DraftKings Casino and daily fantasy contests covering a range of professional and collegiate sports.

The company also provides related entertainment and media content through DraftKings Network, along with free-to-play games, promotions and other interactive products designed to complement its sports and gaming platforms.