Analysts Set Expectations for DraftKings Inc.’s Q3 2024 Earnings (NASDAQ:DKNG)

DraftKings Inc. (NASDAQ:DKNG) – Northland Capmk dropped their Q3 2024 EPS estimates for shares of DraftKings in a report released on Monday, August 5th. Northland Capmk analyst G. Gibas now forecasts that the company will post earnings per share of ($0.47) for the quarter, down from their previous forecast of ($0.34). The consensus estimate for DraftKings’ current full-year earnings is ($0.31) per share. Northland Capmk also issued estimates for DraftKings’ FY2024 earnings at ($0.41) EPS, Q1 2025 earnings at ($0.05) EPS, Q2 2025 earnings at $0.10 EPS, Q3 2025 earnings at ($0.26) EPS, Q4 2025 earnings at $0.50 EPS and FY2025 earnings at $0.31 EPS.

Other research analysts also recently issued research reports about the stock. The Goldman Sachs Group decreased their price target on shares of DraftKings from $60.00 to $54.00 and set a “buy” rating for the company in a research note on Monday, August 5th. Guggenheim lowered 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. BTIG Research increased their price objective on DraftKings from $53.00 to $55.00 and gave the company a “buy” rating in a report on Monday, May 6th. UBS Group lifted their price target on shares of DraftKings from $56.00 to $60.00 and gave the stock a “buy” rating in a research note on Wednesday, May 15th. Finally, Truist Financial decreased their target price on DraftKings from $53.00 to $50.00 and set a “buy” rating for the company in a research report on Monday, August 5th. One analyst has rated the stock with a sell rating, two have given a hold rating and twenty-four have assigned a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $49.56.

DraftKings Stock Down 0.7 %

Shares of DraftKings stock traded down $0.20 on Thursday, reaching $30.34. 8,549,253 shares of the company were exchanged, compared to its average volume of 10,924,932. The stock’s 50 day moving average price is $37.14 and its 200-day moving average price is $40.75. The company has a debt-to-equity ratio of 1.51, a current ratio of 1.34 and a quick ratio of 1.34. DraftKings has a 1-year low of $25.41 and a 1-year high of $49.57. The company has a market cap of $26.37 billion, a P/E ratio of -25.71 and a beta of 1.81.

DraftKings (NASDAQ:DKNG) last released its earnings results on Thursday, August 1st. The company reported $0.12 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.01) by $0.13. DraftKings had a negative return on equity of 49.31% and a negative net margin of 9.45%. The firm had revenue of $1.10 billion during the quarter, compared to analyst estimates of $1.11 billion. During the same period last year, the business posted ($0.17) earnings per share. DraftKings’s revenue was up 26.2% compared to the same quarter last year.

Insider Activity

In other DraftKings news, insider Jason Robins sold 200,000 shares of the stock in a transaction that occurred on Thursday, August 8th. The shares were sold at an average price of $30.72, for a total value 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 sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In related news, insider Jason Robins sold 200,000 shares of the stock in a transaction dated Thursday, August 8th. The stock was sold at an average price of $30.72, for a total value of $6,144,000.00. Following the completion of the transaction, the insider now owns 2,699,815 shares of the company’s stock, valued at $82,938,316.80. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Paul Liberman sold 668,890 shares of the company’s stock in a transaction that occurred on Tuesday, June 25th. The shares were sold at an average price of $38.83, for a total value of $25,972,998.70. Following the completion of the transaction, the insider now directly owns 205,962 shares in the company, valued at $7,997,504.46. The disclosure for this sale can be found here. Over the last quarter, insiders sold 1,383,546 shares of company stock worth $52,889,617. 51.19% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On DraftKings

Several large investors have recently modified their holdings of DKNG. Transcendent Capital Group LLC acquired a new position in shares of DraftKings in the 4th quarter worth approximately $26,000. Montag A & Associates Inc. bought a new position in DraftKings during the fourth quarter worth $29,000. LRI Investments LLC acquired a new position in DraftKings in the first quarter worth $31,000. LifeSteps Financial Inc. bought a new stake in DraftKings during the first quarter valued at $33,000. Finally, Concord Wealth Partners raised its holdings in shares of DraftKings by 140.2% during the first quarter. Concord Wealth Partners now owns 776 shares of the company’s stock worth $35,000 after purchasing an additional 453 shares during the period. Institutional investors 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.