DraftKings (NASDAQ:DKNG) Posts Earnings Results, Misses Expectations By $0.02 EPS

DraftKings (NASDAQ:DKNG) released its quarterly earnings data on Thursday. The company reported ($0.30) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.28) by ($0.02), Briefing.com reports. The company had revenue of $1.18 billion for the quarter, compared to analyst estimates of $1.12 billion. DraftKings had a negative return on equity of 87.24% and a negative net margin of 21.88%. DraftKings’s revenue for the quarter was up 52.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.87) earnings per share.

DraftKings Stock Down 2.8 %

DKNG stock traded down $1.21 during midday trading on Friday, reaching $41.82. 27,173,021 shares of the company’s stock traded hands, compared to its average volume of 11,728,833. DraftKings has a 52 week low of $21.07 and a 52 week high of $49.57. The company has a market cap of $36.24 billion, a price-to-earnings ratio of -23.79 and a beta of 1.87. The firm’s fifty day moving average price is $43.57 and its 200-day moving average price is $38.70. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 1.49.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the company. Susquehanna raised their price objective on DraftKings from $54.00 to $56.00 and gave the company a “positive” rating in a report on Monday. Mizuho started coverage on shares of DraftKings in a research report on Tuesday, March 26th. They set a “buy” rating and a $58.00 target price on the stock. Stifel Nicolaus upgraded shares of DraftKings from a “hold” rating to a “buy” rating and upped their price target for the company from $40.00 to $45.00 in a research report on Friday, January 19th. Benchmark lifted their price target on shares of DraftKings from $50.00 to $52.00 and gave the stock a “buy” rating in a report on Friday. Finally, Morgan Stanley upped their price target on DraftKings from $49.00 to $50.00 and gave the company an “overweight” rating in a research report on Tuesday, April 9th. Two investment analysts have rated the stock with a sell rating, one has given a hold rating and twenty-five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $47.45.

Insider Buying and Selling at DraftKings

In other DraftKings news, insider Jason Robins sold 200,000 shares of DraftKings stock in a transaction dated Wednesday, February 21st. The stock was sold at an average price of $40.89, for a total transaction of $8,178,000.00. Following the completion of the transaction, the insider now owns 3,195,812 shares in the company, valued at approximately $130,676,752.68. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. In related news, insider Jason Robins sold 200,000 shares of the stock in a transaction on Wednesday, February 21st. The stock was sold at an average price of $40.89, for a total value of $8,178,000.00. Following the completion of the sale, the insider now directly owns 3,195,812 shares of the company’s stock, valued at approximately $130,676,752.68. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, insider R Stanton Dodge sold 686,101 shares of DraftKings stock in a transaction on Thursday, February 8th. The stock was sold at an average price of $43.06, for a total transaction of $29,543,509.06. Following the transaction, the insider now directly owns 200,239 shares in the company, valued at $8,622,291.34. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,086,101 shares of company stock valued at $45,903,509. Corporate insiders own 51.19% of the company’s stock.

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.