Macquarie Trims DraftKings (NASDAQ:DKNG) Target Price to $50.00

DraftKings (NASDAQ:DKNG) had its target price lowered by Macquarie from $52.00 to $50.00 in a research note issued to investors on Monday, Benzinga reports. The brokerage currently has an “outperform” rating on the stock. Macquarie’s target price would suggest a potential upside of 56.79% from the company’s current price.

A number of other brokerages have also recently commented on DKNG. Needham & Company LLC reaffirmed a “buy” rating and issued a $60.00 target price on shares of DraftKings in a report on Monday. Guggenheim decreased their target price on shares of DraftKings from $53.00 to $52.00 and set a “buy” rating for the company in a research note on Wednesday, June 26th. Bank of America dropped their price target on DraftKings from $54.00 to $50.00 and set a “buy” rating on the stock in a research report on Monday, July 22nd. Stifel Nicolaus reaffirmed a “buy” rating and set a $48.00 price objective (down from $50.00) on shares of DraftKings in a research report on Monday. Finally, Jefferies Financial Group upped their price target on DraftKings from $52.00 to $54.00 and gave the stock a “buy” rating in a research note on Monday, May 6th. Two equities research analysts have rated the stock with a sell rating, two have issued a hold rating and twenty-six have issued a buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $48.30.

DraftKings Stock Down 0.4 %

Shares of NASDAQ DKNG traded down $0.13 during mid-day trading on Monday, reaching $31.89. The company had a trading volume of 7,970,751 shares, compared to its average volume of 10,899,472. The firm has a 50 day simple moving average of $37.74 and a two-hundred day simple moving average of $41.03. DraftKings has a 52-week low of $25.41 and a 52-week high of $49.57. 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 stock has a market cap of $27.72 billion, a P/E ratio of -27.01 and a beta of 1.81.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, August 1st. The company reported $0.12 EPS for the quarter, topping analysts’ consensus estimates of ($0.01) by $0.13. The business had revenue of $1.10 billion for the quarter, compared to analysts’ expectations of $1.11 billion. DraftKings had a negative return on equity of 49.31% and a negative net margin of 9.45%. The business’s revenue was up 26.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned ($0.17) earnings per share. Sell-side analysts predict that DraftKings will post -0.31 earnings per share for the current year.

Insider Buying and Selling at DraftKings

In other news, insider Jason Robins sold 200,000 shares of the company’s stock in a transaction dated Tuesday, May 21st. The stock was sold at an average price of $43.59, for a total value of $8,718,000.00. Following the completion of the sale, the insider now owns 2,668,954 shares of the company’s stock, valued at $116,339,704.86. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. In related news, insider Jason Robins sold 200,000 shares of the business’s stock in a transaction that occurred on Tuesday, May 21st. The stock was sold at an average price of $43.59, for a total transaction of $8,718,000.00. Following the transaction, the insider now directly owns 2,668,954 shares of the company’s stock, valued at approximately $116,339,704.86. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Jocelyn Moore sold 1,450 shares of the stock in a transaction that occurred 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 completion of the sale, the director now directly owns 6,814 shares of the company’s stock, valued at approximately $244,758.88. The disclosure for this sale can be found here. Insiders have sold 1,383,546 shares of company stock valued at $55,279,617 over the last three months. 51.19% of the stock is owned by company insiders.

Hedge Funds Weigh In On DraftKings

A number of institutional investors and hedge funds have recently added to or reduced their stakes in DKNG. LRI Investments LLC acquired a new stake in DraftKings in the first quarter valued at $31,000. LifeSteps Financial Inc. acquired a new stake in shares of DraftKings in the 1st quarter valued at about $33,000. Transcendent Capital Group LLC acquired a new position in DraftKings in the fourth quarter worth about $26,000. Concord Wealth Partners increased its holdings in DraftKings by 140.2% in the first quarter. Concord Wealth Partners now owns 776 shares of the company’s stock valued at $35,000 after buying an additional 453 shares during the last quarter. Finally, Montag A & Associates Inc. acquired a new stake in DraftKings during the fourth quarter valued at approximately $29,000. 37.70% of the stock is owned by hedge funds and other institutional investors.

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.