Benchmark Forecasts Strong Price Appreciation for DraftKings (NASDAQ:DKNG) Stock

DraftKings (NASDAQ:DKNG) had its price target upped by stock analysts at Benchmark from $44.00 to $51.00 in a report released on Friday,Benzinga reports. The firm presently has a “buy” rating on the stock. Benchmark’s price objective suggests a potential downside of 1.41% from the company’s current price.

Other equities research analysts also recently issued research reports about the stock. Susquehanna lowered their price objective on shares of DraftKings from $56.00 to $54.00 and set a “positive” rating on the stock in a research note on Wednesday, January 8th. JMP Securities reaffirmed a “market outperform” rating and set a $50.00 price objective on shares of DraftKings in a research report on Friday. Canaccord Genuity Group lifted their target price on DraftKings from $54.00 to $60.00 and gave the stock a “buy” rating in a research report on Friday. Needham & Company LLC reaffirmed a “buy” rating and issued a $60.00 price target on shares of DraftKings in a report on Friday. Finally, TD Cowen decreased their price objective on DraftKings from $55.00 to $51.00 and set a “buy” rating on the stock in a report on Tuesday, February 4th. Three analysts have rated the stock with a hold rating and twenty-three have given a buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $51.58.

DraftKings Stock Performance

DraftKings stock traded up $5.28 on Friday, reaching $51.73. 28,614,651 shares of the stock were exchanged, compared to its average volume of 8,731,868. The stock has a market cap of $25.23 billion, a PE ratio of -58.43, a PEG ratio of 3.18 and a beta of 1.93. The firm has a fifty day moving average price of $40.36 and a two-hundred day moving average price of $38.62. DraftKings has a twelve month low of $28.69 and a twelve month high of $53.47. The company has a current ratio of 1.00, a quick ratio of 1.00 and a debt-to-equity ratio of 1.17.

DraftKings (NASDAQ:DKNG) last posted its quarterly earnings data on Thursday, February 13th. The company reported ($0.28) earnings per share for the quarter, missing the consensus estimate of $0.07 by ($0.35). DraftKings had a negative return on equity of 41.23% and a negative net margin of 9.06%. Sell-side analysts anticipate that DraftKings will post -0.95 EPS for the current year.

Insider Transactions at DraftKings

In other DraftKings news, insider R Stanton Dodge sold 228,496 shares of the business’s stock in a transaction dated Monday, December 9th. The shares were sold at an average price of $42.74, for a total value of $9,765,919.04. Following the completion of the transaction, the insider now directly owns 541,884 shares of the company’s stock, valued at approximately $23,160,122.16. The trade was a 29.66 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Jason Robins sold 3,151 shares of the stock in a transaction that occurred on Thursday, November 21st. The shares were sold at an average price of $43.71, for a total transaction of $137,730.21. Following the sale, the insider now directly owns 2,631,033 shares in the company, valued at $115,002,452.43. This trade represents a 0.12 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 963,742 shares of company stock worth $38,082,888. Insiders own 51.19% of the company’s stock.

Hedge Funds Weigh In On DraftKings

Several large investors have recently made changes to their positions in the company. Principal Financial Group Inc. raised its holdings in DraftKings by 14.6% during the 3rd quarter. Principal Financial Group Inc. now owns 234,768 shares of the company’s stock worth $9,203,000 after purchasing an additional 29,991 shares during the last quarter. Mizuho Securities USA LLC bought a new stake in shares of DraftKings during the third quarter worth approximately $28,028,000. Janney Montgomery Scott LLC raised its stake in shares of DraftKings by 51.6% during the third quarter. Janney Montgomery Scott LLC now owns 378,227 shares of the company’s stock worth $14,826,000 after buying an additional 128,676 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its holdings in DraftKings by 2.8% in the third quarter. Charles Schwab Investment Management Inc. now owns 3,175,255 shares of the company’s stock valued at $124,470,000 after buying an additional 86,336 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. boosted its stake 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. 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.