DraftKings (NASDAQ:DKNG) Stock Rating Reaffirmed by Needham & Company LLC

DraftKings (NASDAQ:DKNG)‘s stock had its “buy” rating reiterated by research analysts at Needham & Company LLC in a research report issued to clients and investors on Monday, Benzinga reports. They currently have a $60.00 price target on the stock. Needham & Company LLC’s price target suggests a potential upside of 53.30% from the company’s current price.

Other equities research analysts have also recently issued reports about the stock. Berenberg Bank raised shares of DraftKings to a “hold” rating in a research report on Friday, May 31st. Bank of America dropped their price target on shares of DraftKings from $54.00 to $50.00 and set a “buy” rating for the company in a research note on Monday, July 22nd. Wells Fargo & Company dropped their price target on shares of DraftKings from $53.00 to $47.00 and set an “overweight” rating for the company in a research note on Monday, August 5th. BMO Capital Markets lowered their price target on shares of DraftKings from $54.00 to $48.00 and set an “outperform” rating for the company in a research report on Friday, August 2nd. Finally, Morgan Stanley reiterated an “overweight” rating and issued a $47.00 target price on shares of DraftKings in a research report on Wednesday, September 11th. Three investment analysts have rated the stock with a hold rating and twenty-four have given a buy rating to the company. According to data from MarketBeat, DraftKings presently has an average rating of “Moderate Buy” and an average price target of $49.78.

DraftKings Stock Performance

Shares of DKNG opened at $39.14 on Monday. The company has a 50-day simple moving average of $35.43 and a 200-day simple moving average of $39.40. 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 company has a market capitalization of $34.02 billion, a PE ratio of -33.17 and a beta of 1.80. DraftKings has a 52-week low of $25.73 and a 52-week high of $49.57.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, August 1st. The company reported $0.12 earnings per share for the quarter, beating the consensus estimate of ($0.01) by $0.13. DraftKings had a negative net margin of 9.45% and a negative return on equity of 43.11%. The firm had revenue of $1.10 billion during the quarter, compared to the consensus estimate of $1.11 billion. During the same period last year, the firm posted ($0.17) EPS. The firm’s revenue for the quarter was up 26.2% on a year-over-year basis. Equities research analysts predict that DraftKings will post -0.31 earnings per share for the current fiscal year.

Insider Activity at DraftKings

In other DraftKings news, insider Jason Robins sold 200,000 shares of the stock in a transaction that occurred on Thursday, August 8th. The stock was sold at an average price of $30.72, for a total transaction of $6,144,000.00. Following the transaction, the insider now owns 2,699,815 shares in the company, valued at $82,938,316.80. The sale was disclosed in a filing with the SEC, which is available at the SEC website. In other news, insider Jason Robins sold 200,000 shares of the firm’s stock in a transaction that occurred on Thursday, August 8th. The shares were sold at an average price of $30.72, for a total transaction of $6,144,000.00. Following the completion of the sale, the insider now owns 2,699,815 shares of the company’s stock, valued at $82,938,316.80. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Paul Liberman sold 88,441 shares of the firm’s stock in a transaction that occurred on Monday, August 26th. The stock was sold at an average price of $35.64, for a total transaction of $3,152,037.24. Following the sale, the insider now directly owns 2,498,483 shares of the company’s stock, valued at approximately $89,045,934.12. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 551,647 shares of company stock valued at $18,811,071. 51.19% of the stock is currently owned by corporate insiders.

Institutional Trading of DraftKings

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. RDA Financial Network bought a new position in shares of DraftKings during the first quarter worth $232,000. LRI Investments LLC bought a new stake in DraftKings in the 1st quarter valued at about $31,000. CreativeOne Wealth LLC bought a new stake in DraftKings in the 1st quarter valued at about $297,000. PNC Financial Services Group Inc. lifted its holdings in shares of DraftKings by 1.8% during the 4th quarter. PNC Financial Services Group Inc. now owns 58,018 shares of the company’s stock worth $2,045,000 after acquiring an additional 1,021 shares during the period. Finally, Park Avenue Securities LLC lifted its holdings in shares of DraftKings by 11.0% during the 2nd quarter. Park Avenue Securities LLC now owns 19,546 shares of the company’s stock worth $746,000 after acquiring an additional 1,943 shares during the period. Institutional investors and hedge funds 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.