DraftKings (NASDAQ:DKNG) Receives “Buy” Rating from Needham & Company LLC

Needham & Company LLC reissued their buy rating on shares of DraftKings (NASDAQ:DKNG) in a research note published on Wednesday morning, Benzinga reports. They currently have a $60.00 target price on the stock.

Several other brokerages also recently commented on DKNG. Moffett Nathanson increased their price objective on DraftKings from $52.00 to $55.00 and gave the stock a buy rating in a research note on Thursday, March 28th. Guggenheim lowered their price target on DraftKings from $53.00 to $52.00 and set a buy rating for the company in a research report on Wednesday, June 26th. Oppenheimer dropped their price objective on DraftKings from $60.00 to $58.00 and set an outperform rating on the stock in a research note on Monday, July 1st. Berenberg Bank upgraded shares of DraftKings to a hold rating in a research note on Friday, May 31st. Finally, Susquehanna dropped their price target on shares of DraftKings from $56.00 to $49.00 and set a positive rating on the stock in a research report on Wednesday, June 5th. Two research analysts have rated the stock with a sell rating, two have assigned a hold rating and twenty-six have given a buy rating to the company. According to MarketBeat.com, the company has a consensus rating of Moderate Buy and an average target price of $49.67.

DraftKings Stock Performance

NASDAQ DKNG opened at $36.30 on Wednesday. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 1.51. The company has a fifty day simple moving average of $38.43 and a 200 day simple moving average of $40.92. DraftKings has a 12-month low of $25.41 and a 12-month high of $49.57. The company has a market cap of $31.55 billion, a P/E ratio of -30.76 and a beta of 1.81.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings data on Thursday, May 2nd. The company reported ($0.30) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.28) by ($0.02). DraftKings had a negative net margin of 13.45% and a negative return on equity of 62.74%. The business had revenue of $1.18 billion for the quarter, compared to analyst estimates of $1.12 billion. During the same quarter in the prior year, the business earned ($0.87) earnings per share. The firm’s quarterly revenue was up 52.7% compared to the same quarter last year. Sell-side analysts predict that DraftKings will post -0.31 earnings per share for the current fiscal year.

Insider Activity at DraftKings

In related news, insider Paul Liberman sold 668,890 shares of the stock in a transaction dated Tuesday, June 25th. The stock was sold at an average price of $38.83, for a total transaction of $25,972,998.70. Following the sale, the insider now owns 205,962 shares of the company’s stock, valued at approximately $7,997,504.46. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. In other DraftKings news, insider Paul Liberman sold 668,890 shares of the stock in a transaction that occurred on Tuesday, June 25th. The shares were sold at an average price of $38.83, for a total value of $25,972,998.70. Following the sale, the insider now directly owns 205,962 shares in the company, valued at approximately $7,997,504.46. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Jocelyn Moore sold 1,450 shares of the business’s stock in a transaction on Wednesday, June 5th. The shares were sold at an average price of $35.92, for a total transaction of $52,084.00. Following the transaction, the director now owns 6,814 shares of the company’s stock, valued at $244,758.88. The disclosure for this sale can be found here. In the last three months, insiders have sold 1,383,546 shares of company stock worth $55,279,617. 51.19% of the stock is owned by company insiders.

Hedge Funds Weigh In On DraftKings

Institutional investors have recently added to or reduced their stakes in the business. Encompass More Asset Management purchased a new position in shares of DraftKings during the second quarter worth about $227,000. Patriot Financial Group Insurance Agency LLC increased its holdings in shares of DraftKings by 42.8% in the 2nd quarter. Patriot Financial Group Insurance Agency LLC now owns 9,035 shares of the company’s stock worth $345,000 after buying an additional 2,708 shares during the last quarter. Cambridge Investment Research Advisors Inc. raised its position in shares of DraftKings by 55.7% during the 2nd quarter. Cambridge Investment Research Advisors Inc. now owns 157,684 shares of the company’s stock valued at $6,019,000 after buying an additional 56,430 shares in the last quarter. Signature Estate & Investment Advisors LLC raised its position in shares of DraftKings by 35.9% during the 2nd quarter. Signature Estate & Investment Advisors LLC now owns 6,607 shares of the company’s stock valued at $252,000 after buying an additional 1,745 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC lifted its holdings in shares of DraftKings by 11.3% during the 2nd quarter. Allspring Global Investments Holdings LLC now owns 2,101,966 shares of the company’s stock worth $80,232,000 after acquiring an additional 213,679 shares during the last quarter. 37.70% of the stock is currently owned by institutional investors.

DraftKings Company Profile

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.