DraftKings (NASDAQ:DKNG) Cut to Neutral at Bank of America

Bank of America downgraded shares of DraftKings (NASDAQ:DKNG) from a buy rating to a neutral rating in a report published on Tuesday morning, Marketbeat reports. Bank of America currently has $35.00 price objective on the stock, down from their previous price objective of $48.00.

DKNG has been the topic of several other research reports. Mizuho decreased their price objective on DraftKings from $58.00 to $54.00 and set an “outperform” rating on the stock in a research note on Tuesday, October 7th. Morgan Stanley reissued an “overweight” rating and issued a $52.00 target price (up from $51.00) on shares of DraftKings in a report on Friday, July 11th. Truist Financial decreased their target price on shares of DraftKings from $55.00 to $50.00 and set a “buy” rating on the stock in a research note on Tuesday, October 21st. Deutsche Bank Aktiengesellschaft set a $47.00 price target on shares of DraftKings and gave the company a “hold” rating in a report on Friday, August 8th. Finally, Susquehanna dropped their price target on shares of DraftKings from $64.00 to $59.00 and set a “positive” rating for the company in a research report on Tuesday, October 14th. Twenty-six investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $52.34.

DraftKings Trading Up 0.2%

Shares of DKNG stock opened at $27.98 on Tuesday. The company has a debt-to-equity ratio of 1.82, a current ratio of 1.34 and a quick ratio of 1.34. The company has a market cap of $13.89 billion, a price-to-earnings ratio of -43.05, a PEG ratio of 0.95 and a beta of 1.86. DraftKings has a 1 year low of $27.89 and a 1 year high of $53.61. The firm has a fifty day moving average price of $38.23 and a 200-day moving average price of $39.42.

DraftKings (NASDAQ:DKNG) last released its earnings results on Thursday, August 7th. The company reported $0.30 earnings per share for the quarter, beating the consensus estimate of $0.16 by $0.14. DraftKings had a negative return on equity of 30.06% and a negative net margin of 5.63%.The company had revenue of $1.51 billion for the quarter, compared to the consensus estimate of $1.39 billion. During the same period in the previous year, the business earned $0.12 earnings per share. DraftKings’s quarterly revenue was up 36.9% compared to the same quarter last year. As a group, equities analysts predict that DraftKings will post 0.64 earnings per share for the current year.

Insiders Place Their Bets

In other DraftKings news, Director Jocelyn Moore sold 4,861 shares of the stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $43.21, for a total transaction of $210,043.81. Following the completion of the sale, the director directly owned 1,461 shares of the company’s stock, valued at $63,129.81. This trade represents a 76.89% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Matthew Kalish sold 210,000 shares of DraftKings stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $42.90, for a total transaction of $9,009,000.00. Following the sale, the insider owned 4,190,233 shares in the company, valued at approximately $179,760,995.70. The trade was a 4.77% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 500,000 shares of company stock worth $21,807,391 over the last ninety days. 51.19% of the stock is owned by company insiders.

Institutional Trading of DraftKings

Several hedge funds have recently bought and sold shares of DKNG. IHT Wealth Management LLC grew its position in shares of DraftKings by 4.1% during the second quarter. IHT Wealth Management LLC now owns 6,271 shares of the company’s stock valued at $269,000 after purchasing an additional 248 shares in the last quarter. Brooklyn Investment Group boosted its stake in DraftKings by 7.3% during the first quarter. Brooklyn Investment Group now owns 3,987 shares of the company’s stock valued at $132,000 after buying an additional 270 shares during the last quarter. TD Private Client Wealth LLC grew its holdings in DraftKings by 54.4% during the 2nd quarter. TD Private Client Wealth LLC now owns 800 shares of the company’s stock valued at $34,000 after buying an additional 282 shares in the last quarter. Farther Finance Advisors LLC grew its holdings in DraftKings by 9.1% during the 2nd quarter. Farther Finance Advisors LLC now owns 3,413 shares of the company’s stock valued at $146,000 after buying an additional 286 shares in the last quarter. Finally, Obermeyer Wealth Partners increased its stake in DraftKings by 3.4% in the 1st quarter. Obermeyer Wealth Partners now owns 8,930 shares of the company’s stock worth $297,000 after acquiring an additional 297 shares during the last quarter. Hedge funds and other 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.