Bank of America Trims DraftKings (NASDAQ:DKNG) Target Price to $50.00

DraftKings (NASDAQ:DKNG) had its price target lowered by Bank of America from $54.00 to $50.00 in a research note issued to investors on Monday, Benzinga reports. Bank of America currently has a buy rating on the stock.

Other research analysts have also issued reports about the stock. Moffett Nathanson increased their price target on shares of DraftKings from $52.00 to $55.00 and gave the stock a buy rating in a research note on Thursday, March 28th. BTIG Research increased their price target on shares of DraftKings from $53.00 to $55.00 and gave the stock a buy rating in a research note on Monday, May 6th. Stifel Nicolaus reiterated a buy rating and issued a $50.00 price target on shares of DraftKings in a research note on Friday, July 5th. JMP Securities reiterated a market outperform rating and issued a $52.00 price target on shares of DraftKings in a research note on Monday, March 25th. Finally, Morgan Stanley increased their price target on shares of DraftKings from $49.00 to $50.00 and gave the stock an overweight rating in a research note on Tuesday, April 9th. Two equities research analysts have rated the stock with a sell rating, two have assigned a hold rating and twenty-six have given a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of Moderate Buy and an average target price of $49.67.

DraftKings Trading Down 0.2 %

Shares of DKNG opened at $35.78 on Monday. The stock has a market capitalization of $31.10 billion, a P/E ratio of -30.32 and a beta of 1.81. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 1.51. The firm has a fifty day simple moving average of $38.58 and a two-hundred day simple moving average of $40.85. DraftKings has a twelve month low of $25.41 and a twelve month high of $49.57.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, May 2nd. The company reported ($0.30) EPS for the quarter, missing the consensus estimate of ($0.28) by ($0.02). DraftKings had a negative return on equity of 62.74% and a negative net margin of 13.45%. The company had revenue of $1.18 billion during the quarter, compared to analysts’ expectations of $1.12 billion. During the same period in the prior year, the business posted ($0.87) earnings per share. The company’s revenue for the quarter was up 52.7% on a year-over-year basis. On average, research analysts anticipate that DraftKings will post -0.29 EPS for the current year.

Insider Activity

In other news, insider Paul Liberman sold 63,206 shares of the stock in a transaction on Monday, July 15th. The stock was sold at an average price of $39.00, for a total transaction of $2,465,034.00. Following the transaction, the insider now directly owns 1,716,406 shares of the company’s stock, valued at approximately $66,939,834. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. In related news, Director Jocelyn Moore sold 1,450 shares of the firm’s stock in a transaction on Wednesday, June 5th. The stock was sold at an average price of $35.92, for a total value of $52,084.00. Following the transaction, the director now directly owns 6,814 shares of the company’s stock, valued at approximately $244,758.88. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Paul Liberman sold 63,206 shares of the firm’s stock in a transaction on Monday, July 15th. The stock was sold at an average price of $39.00, for a total value of $2,465,034.00. Following the completion of the transaction, the insider now directly owns 1,716,406 shares in the company, valued at $66,939,834. The disclosure for this sale can be found here. Insiders have sold 1,383,546 shares of company stock valued at $55,279,617 in the last ninety days. 51.19% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On DraftKings

Institutional investors have recently bought and sold shares of the stock. Highlander Capital Management LLC raised its holdings in DraftKings by 180.0% during the fourth quarter. Highlander Capital Management LLC now owns 700 shares of the company’s stock valued at $25,000 after acquiring an additional 450 shares during the period. Transcendent Capital Group LLC bought a new stake in DraftKings during the fourth quarter valued at about $26,000. Montag A & Associates Inc. bought a new stake in DraftKings during the fourth quarter valued at about $29,000. LRI Investments LLC bought a new stake in DraftKings during the first quarter valued at about $31,000. Finally, LifeSteps Financial Inc. bought a new stake in DraftKings during the first quarter valued at about $33,000. 37.70% of the stock is owned by 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.