DraftKings (NASDAQ:DKNG) Shares Gap Up to $39.14

DraftKings Inc. (NASDAQ:DKNG) shares gapped up prior to trading on Wednesday . The stock had previously closed at $39.14, but opened at $41.01. DraftKings shares last traded at $40.61, with a volume of 2,455,158 shares.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on DKNG shares. Berenberg Bank upgraded shares of DraftKings to a “hold” rating in a report on Friday, May 31st. Morgan Stanley reiterated an “overweight” rating and issued a $47.00 target price on shares of DraftKings in a research note on Wednesday, September 11th. Benchmark upped their target price on shares of DraftKings from $41.00 to $44.00 and gave the stock a “buy” rating in a research note on Tuesday, August 20th. Stifel Nicolaus reiterated a “buy” rating and issued a $48.00 target price (down previously from $50.00) on shares of DraftKings in a research note on Monday, August 5th. Finally, UBS Group upped their target price on shares of DraftKings from $56.00 to $58.00 and gave the stock a “buy” rating in a research note on Wednesday, September 4th. Three equities research analysts have rated the stock with a hold rating and twenty-four have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $49.78.

DraftKings Trading Up 4.0 %

The stock’s 50 day moving average price is $35.41 and its 200-day moving average price is $39.38. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.97. The stock has a market capitalization of $35.77 billion, a PE ratio of -34.40 and a beta of 1.80.

DraftKings (NASDAQ:DKNG) last announced its quarterly earnings data on Thursday, August 1st. The company reported $0.12 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.01) by $0.13. The firm had revenue of $1.10 billion during the quarter, compared to analysts’ expectations of $1.11 billion. DraftKings had a negative net margin of 9.45% and a negative return on equity of 43.11%. The company’s revenue for the quarter was up 26.2% compared to the same quarter last year. During the same period in the prior year, the company posted ($0.17) earnings per share. On average, sell-side analysts expect that DraftKings Inc. will post -0.31 earnings per share for the current fiscal year.

Insider Transactions at DraftKings

In related news, insider Paul Liberman sold 63,206 shares of the firm’s stock in a transaction 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 transaction, 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 filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other DraftKings news, insider Jason Robins sold 200,000 shares of the stock in a transaction on Wednesday, August 21st. The shares were sold at an average price of $35.25, for a total transaction of $7,050,000.00. Following the completion of the transaction, the insider now owns 2,678,082 shares in the company, valued at $94,402,390.50. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Paul Liberman sold 63,206 shares of the stock in a transaction 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 transaction, the insider now owns 1,716,406 shares of the company’s stock, valued at approximately $66,939,834. The disclosure for this sale can be found here. Insiders sold a total of 551,647 shares of company stock valued at $18,811,071 over the last three months. Corporate insiders own 51.19% of the company’s stock.

Institutional Investors Weigh In On DraftKings

Several institutional investors have recently made changes to their positions in DKNG. Transcendent Capital Group LLC bought a new stake in DraftKings during the 4th quarter valued at about $26,000. LRI Investments LLC bought a new stake in DraftKings during the 1st quarter valued at about $31,000. LifeSteps Financial Inc. bought a new stake in DraftKings during the 1st quarter valued at about $33,000. Concord Wealth Partners lifted its holdings in DraftKings by 140.2% during the 1st quarter. Concord Wealth Partners now owns 776 shares of the company’s stock valued at $35,000 after buying an additional 453 shares in the last quarter. Finally, Alta Advisers Ltd bought a new stake in DraftKings during the 2nd quarter valued at about $38,000. Institutional investors own 37.70% of the company’s stock.

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.