DraftKings (NASDAQ:DKNG) Hits New 1-Year High on Analyst Upgrade

Shares of DraftKings Inc. (NASDAQ:DKNG) hit a new 52-week high during trading on Friday after Canaccord Genuity Group raised their price target on the stock from $54.00 to $60.00. Canaccord Genuity Group currently has a buy rating on the stock. DraftKings traded as high as $51.90 and last traded at $53.15, with a volume of 11298235 shares. The stock had previously closed at $46.45.

Several other brokerages have also recently commented on DKNG. Barclays boosted their price target on shares of DraftKings from $45.00 to $50.00 and gave the stock an “overweight” rating in a research note on Monday, November 11th. JPMorgan Chase & Co. boosted their price target on shares of DraftKings from $47.00 to $53.00 and gave the stock an “overweight” rating in a research note on Friday, December 13th. Wells Fargo & Company boosted their price target on shares of DraftKings from $47.00 to $52.00 and gave the stock an “overweight” rating in a research note on Thursday, October 17th. TD Cowen decreased their target price on shares of DraftKings from $55.00 to $51.00 and set a “buy” rating on the stock in a research report on Tuesday, February 4th. Finally, Susquehanna decreased their target price on shares of DraftKings from $56.00 to $54.00 and set a “positive” rating on the stock in a research report on Wednesday, January 8th. Three analysts have rated the stock with a hold rating and twenty-three have assigned a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $51.31.

Insider Buying and Selling at DraftKings

In related news, insider Paul Liberman sold 532,095 shares of the firm’s stock in a transaction on Thursday, December 26th. The shares were sold at an average price of $38.30, for a total transaction of $20,379,238.50. Following the completion of the transaction, the insider now owns 68,654 shares of the company’s stock, valued at $2,629,448.20. This trade represents a 88.57 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Jason Robins sold 3,151 shares of the firm’s stock in a transaction on Thursday, November 21st. The stock was sold at an average price of $43.71, for a total transaction of $137,730.21. Following the transaction, the insider now directly owns 2,631,033 shares of the company’s stock, valued at approximately $115,002,452.43. This trade represents a 0.12 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 963,742 shares of company stock worth $38,082,888 over the last three months. Corporate insiders own 51.19% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Principal Financial Group Inc. grew its position in DraftKings by 14.6% during the third quarter. Principal Financial Group Inc. now owns 234,768 shares of the company’s stock valued at $9,203,000 after buying an additional 29,991 shares during the period. Mizuho Securities USA LLC acquired a new stake in DraftKings during the third quarter valued at $28,028,000. Janney Montgomery Scott LLC grew its position in DraftKings by 51.6% during the third quarter. Janney Montgomery Scott LLC now owns 378,227 shares of the company’s stock valued at $14,826,000 after buying an additional 128,676 shares during the period. Charles Schwab Investment Management Inc. grew its position 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 valued at $124,470,000 after buying an additional 86,336 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. grew its position in shares of 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 purchasing an additional 350,215 shares during the period. Hedge funds and other institutional investors own 37.70% of the company’s stock.

DraftKings Trading Up 13.9 %

The company’s 50-day moving average price is $40.36 and its 200-day moving average price is $38.62. The firm has a market cap of $25.80 billion, a price-to-earnings ratio of -60.20, a price-to-earnings-growth ratio of 3.18 and a beta of 1.93. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 1.17.

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