Barclays Issues Pessimistic Forecast for DraftKings (NASDAQ:DKNG) Stock Price

DraftKings (NASDAQ:DKNG) had its price target dropped by Barclays from $50.00 to $48.00 in a research report issued on Monday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Barclays‘s target price suggests a potential upside of 27.15% from the stock’s current price.

A number of other equities research analysts have also weighed in on the company. BTIG Research lowered their price objective on DraftKings from $64.00 to $52.00 and set a “buy” rating on the stock in a report on Tuesday, April 22nd. BMO Capital Markets reiterated an “outperform” rating and set a $65.00 price target on shares of DraftKings in a research report on Thursday, April 24th. Bank of America reduced their price target on shares of DraftKings from $60.00 to $50.00 and set a “buy” rating for the company in a research report on Friday. Morgan Stanley lifted their price target on shares of DraftKings from $49.00 to $53.00 and gave the company an “overweight” rating in a research report on Monday, February 24th. Finally, Piper Sandler reiterated an “overweight” rating and set a $60.00 price target (up from $48.00) on shares of DraftKings in a research report on Tuesday, February 18th. Two research analysts have rated the stock with a hold rating and twenty-six have given a buy rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $55.07.

DraftKings Stock Up 4.2%

DraftKings stock traded up $1.52 during midday trading on Monday, reaching $37.75. The company’s stock had a trading volume of 6,046,337 shares, compared to its average volume of 9,820,344. The business has a 50-day simple moving average of $35.48 and a 200-day simple moving average of $39.30. The company has a quick ratio of 1.00, a current ratio of 0.93 and a debt-to-equity ratio of 1.24. DraftKings has a fifty-two week low of $28.69 and a fifty-two week high of $53.61. The company has a market cap of $33.33 billion, a P/E ratio of -35.73, a P/E/G ratio of 1.43 and a beta of 1.89.

DraftKings (NASDAQ:DKNG) last posted its earnings results on Thursday, February 13th. The company reported ($0.28) EPS for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.35). DraftKings had a negative return on equity of 48.13% and a negative net margin of 10.64%. On average, research analysts expect that DraftKings will post 0.64 earnings per share for the current fiscal year.

Insider Activity

In other news, Director Jocelyn Moore sold 3,420 shares of the business’s stock in a transaction on Thursday, March 6th. The shares were sold at an average price of $42.00, for a total transaction of $143,640.00. Following the completion of the sale, the director now directly owns 1,612 shares of the company’s stock, valued at $67,704. The trade was a 67.97% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CFO Alan Wayne Ellingson sold 158,661 shares of the business’s stock in a transaction on Tuesday, February 25th. The shares were sold at an average price of $42.42, for a total transaction of $6,730,399.62. Following the sale, the chief financial officer now directly owns 179,435 shares of the company’s stock, valued at $7,611,632.70. This represents a 46.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 2,681,079 shares of company stock valued at $112,941,617 in the last ninety days. Company insiders own 51.19% of the company’s stock.

Institutional Investors Weigh In On DraftKings

A number of institutional investors have recently modified their holdings of the stock. Raiffeisen Bank International AG acquired a new stake in DraftKings during the fourth quarter worth about $25,000. FNY Investment Advisers LLC acquired a new stake in shares of DraftKings in the first quarter valued at approximately $26,000. Smallwood Wealth Investment Management LLC acquired a new stake in shares of DraftKings in the first quarter valued at approximately $27,000. Stonebridge Financial Group LLC acquired a new stake in shares of DraftKings in the fourth quarter valued at approximately $28,000. Finally, Point72 Asia Singapore Pte. Ltd. bought a new position in shares of DraftKings in the fourth quarter valued at approximately $28,000. Institutional investors and hedge funds own 37.70% 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.