Tremblant Capital Group Lowers Position in DraftKings Inc. (NASDAQ:DKNG)

Tremblant Capital Group lessened its stake in DraftKings Inc. (NASDAQ:DKNG) by 3.7% during the 4th quarter, according to its most recent disclosure with the SEC. The institutional investor owned 868,162 shares of the company’s stock after selling 33,530 shares during the quarter. DraftKings makes up about 3.3% of Tremblant Capital Group’s investment portfolio, making the stock its 11th largest position. Tremblant Capital Group’s holdings in DraftKings were worth $32,296,000 as of its most recent filing with the SEC.

Several other hedge funds have also recently modified their holdings of DKNG. Raiffeisen Bank International AG purchased a new stake in DraftKings during the fourth quarter valued at $25,000. Stonebridge Financial Group LLC purchased a new stake in DraftKings during the fourth quarter valued at $28,000. Point72 Asia Singapore Pte. Ltd. purchased a new stake in DraftKings during the fourth quarter valued at $28,000. Synergy Asset Management LLC purchased a new stake in DraftKings during the fourth quarter valued at $30,000. Finally, Synergy Investment Management LLC purchased a new stake in DraftKings during the fourth quarter valued at $37,000. Hedge funds and other institutional investors own 37.70% of the company’s stock.

Analysts Set New Price Targets

DKNG has been the topic of several recent analyst reports. JMP Securities set a $57.00 target price on shares of DraftKings in a research note on Wednesday, April 2nd. Barclays reduced their target price on shares of DraftKings from $50.00 to $48.00 and set an “overweight” rating on the stock in a research note on Monday, May 12th. Morgan Stanley increased their target price on shares of DraftKings from $49.00 to $53.00 and gave the company an “overweight” rating in a research note on Monday, February 24th. Needham & Company LLC reissued a “buy” rating and issued a $65.00 target price on shares of DraftKings in a research note on Friday, May 9th. Finally, TD Cowen reduced their target price on shares of DraftKings from $55.00 to $51.00 and set a “buy” rating on the stock in a research note on Tuesday, February 4th. Two research analysts have rated the stock with a hold rating and twenty-six have assigned a buy rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $55.04.

Insiders Place Their Bets

In other DraftKings news, insider Matthew Kalish sold 587,585 shares of the stock in a transaction dated Friday, February 21st. The shares were sold at an average price of $47.05, for a total transaction of $27,645,874.25. Following the transaction, the insider now directly owns 4,118,927 shares in the company, valued at $193,795,515.35. This represents a 12.48% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider R Stanton Dodge sold 52,777 shares of the stock in a transaction dated Monday, April 21st. The stock was sold at an average price of $32.28, for a total transaction of $1,703,641.56. Following the transaction, the insider now owns 601,520 shares in the company, valued at approximately $19,417,065.60. The trade was a 8.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 2,697,908 shares of company stock worth $112,137,019 in the last three months. Corporate insiders own 51.19% of the company’s stock.

DraftKings Stock Up 0.8%

Shares of DraftKings stock opened at $36.90 on Monday. The company has a debt-to-equity ratio of 1.24, a current ratio of 0.93 and a quick ratio of 1.00. DraftKings Inc. has a 1 year low of $28.69 and a 1 year high of $53.61. The firm’s 50-day moving average is $35.25 and its two-hundred day moving average is $39.34. The stock has a market cap of $32.82 billion, a price-to-earnings ratio of -34.81, a PEG ratio of 1.43 and a beta of 1.89.

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

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.