Analysts Set DraftKings Inc. (NASDAQ:DKNG) Target Price at $50.85

DraftKings Inc. (NASDAQ:DKNG) has received an average rating of “Moderate Buy” from the twenty-six ratings firms that are covering the firm, MarketBeat Ratings reports. Three investment analysts have rated the stock with a hold rating and twenty-three have assigned a buy rating to the company. The average twelve-month price target among analysts that have issued ratings on the stock in the last year is $51.04.

DKNG has been the topic of several research analyst reports. Morgan Stanley upped their price objective on DraftKings from $47.00 to $48.00 and gave the company an “overweight” rating in a research report on Tuesday, October 22nd. Susquehanna raised their price target on shares of DraftKings from $48.00 to $50.00 and gave the stock a “positive” rating in a research note on Monday, October 7th. Macquarie boosted their price objective on shares of DraftKings from $50.00 to $51.00 and gave the company an “outperform” rating in a research report on Monday, November 11th. Needham & Company LLC reaffirmed a “buy” rating and set a $60.00 target price on shares of DraftKings in a research report on Friday, November 8th. Finally, UBS Group increased their price objective on DraftKings from $56.00 to $58.00 and gave the stock a “buy” rating in a research note on Wednesday, September 4th.

Insiders Place Their Bets

In related news, insider Jason Robins sold 3,151 shares of DraftKings stock in a transaction dated Thursday, November 21st. The stock was sold at an average price of $43.71, for a total transaction of $137,730.21. Following the completion of the sale, the insider now owns 2,631,033 shares of the company’s stock, valued at $115,002,452.43. The trade was a 0.12 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Paul Liberman sold 88,441 shares of the company’s stock in a transaction on Friday, October 25th. The shares were sold at an average price of $36.41, for a total transaction of $3,220,136.81. Following the completion of the sale, the insider now directly owns 1,923,483 shares in the company, valued at $70,034,016.03. This trade represents a 4.40 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 735,246 shares of company stock valued at $29,902,158. 51.19% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On DraftKings

Institutional investors have recently made changes to their positions in the company. Mizuho Securities USA LLC acquired a new stake in DraftKings in the third quarter valued at approximately $28,028,000. Janney Montgomery Scott LLC raised its holdings in shares of DraftKings by 51.6% during the 3rd quarter. Janney Montgomery Scott LLC now owns 378,227 shares of the company’s stock worth $14,826,000 after acquiring an additional 128,676 shares during the period. Charles Schwab Investment Management Inc. raised its stake in DraftKings by 2.8% during the third quarter. Charles Schwab Investment Management Inc. now owns 3,175,255 shares of the company’s stock worth $124,470,000 after purchasing an additional 86,336 shares during the period. Connor Clark & Lunn Investment Management Ltd. lifted its holdings in DraftKings by 238.6% in the third quarter. Connor Clark & Lunn Investment Management Ltd. now owns 496,971 shares of the company’s stock valued at $19,481,000 after acquiring an additional 350,215 shares during the last quarter. Finally, Principal Financial Group Inc. lifted its stake in shares of DraftKings by 14.6% in the 3rd quarter. Principal Financial Group Inc. now owns 234,768 shares of the company’s stock valued at $9,203,000 after purchasing an additional 29,991 shares during the last quarter. 37.70% of the stock is owned by hedge funds and other institutional investors.

DraftKings Price Performance

DraftKings stock opened at $43.03 on Tuesday. DraftKings has a 12-month low of $28.69 and a 12-month high of $49.57. The company has a current ratio of 1.00, a quick ratio of 1.00 and a debt-to-equity ratio of 1.17. The firm has a 50-day moving average price of $39.27 and a 200-day moving average price of $37.96. The firm has a market capitalization of $37.89 billion, a PE ratio of -48.90 and a beta of 1.82.

DraftKings (NASDAQ:DKNG) last announced its quarterly earnings data on Thursday, November 7th. The company reported ($0.60) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.42) by ($0.18). The firm had revenue of $1.10 billion during the quarter, compared to the consensus estimate of $1.12 billion. DraftKings had a negative return on equity of 41.23% and a negative net margin of 9.06%. As a group, equities research analysts forecast that DraftKings will post -0.79 EPS for the current year.

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.