Benchmark Has Lowered Expectations for DraftKings (NASDAQ:DKNG) Stock Price

DraftKings (NASDAQ:DKNG) had its price objective cut by analysts at Benchmark from $43.00 to $37.00 in a research report issued on Friday,Benzinga reports. The firm currently has a “buy” rating on the stock. Benchmark’s price target would indicate a potential upside of 21.71% from the company’s current price.

Other equities research analysts have also issued research reports about the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of DraftKings in a report on Wednesday, October 8th. Oppenheimer reduced their target price on shares of DraftKings from $60.00 to $55.00 and set an “outperform” rating on the stock in a research report on Wednesday, October 1st. Mizuho decreased their price target on shares of DraftKings from $58.00 to $54.00 and set an “outperform” rating on the stock in a research note on Tuesday, October 7th. Susquehanna lowered their price target on shares of DraftKings from $64.00 to $59.00 and set a “positive” rating for the company in a report on Tuesday, October 14th. Finally, BMO Capital Markets dropped their price objective on shares of DraftKings from $65.00 to $63.00 and set an “outperform” rating for the company in a research report on Tuesday. Twenty-six analysts have rated the stock with a Buy rating, two have given a Hold rating and four have issued a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $51.83.

DraftKings Trading Up 8.6%

Shares of DKNG opened at $30.40 on Friday. The stock has a fifty day moving average price of $37.88 and a two-hundred day moving average price of $39.44. The company has a debt-to-equity ratio of 1.82, a quick ratio of 1.34 and a current ratio of 1.34. DraftKings has a 52-week low of $26.23 and a 52-week high of $53.61. The company has a market cap of $15.09 billion, a price-to-earnings ratio of -53.33, a PEG ratio of 1.03 and a beta of 1.86.

DraftKings (NASDAQ:DKNG) last announced its earnings results on Thursday, November 6th. The company reported ($0.26) EPS for the quarter, missing the consensus estimate of $0.01 by ($0.27). DraftKings had a negative return on equity of 21.47% and a negative net margin of 4.90%.The business had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.40 billion. During the same quarter in the previous year, the company posted ($0.60) EPS. DraftKings’s revenue for the quarter was up 4.4% on a year-over-year basis. DraftKings has set its FY 2025 guidance at EPS. Analysts predict that DraftKings will post 0.64 EPS for the current fiscal year.

Insiders Place Their Bets

In other DraftKings news, Director Jocelyn Moore sold 4,861 shares of the firm’s stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $43.21, for a total value of $210,043.81. Following the transaction, the director directly owned 1,461 shares of the company’s stock, valued at approximately $63,129.81. This trade represents a 76.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Ryan R. Moore sold 76,390 shares of DraftKings stock in a transaction on Thursday, August 21st. The stock was sold at an average price of $45.92, for a total transaction of $3,507,828.80. Following the sale, the director directly owned 402 shares of the company’s stock, valued at $18,459.84. This represents a 99.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 552,777 shares of company stock valued at $23,337,924 over the last three months. 51.19% of the stock is owned by insiders.

Hedge Funds Weigh In On DraftKings

Hedge funds have recently added to or reduced their stakes in the stock. IHT Wealth Management LLC grew its position in shares of DraftKings by 4.1% during the 2nd quarter. IHT Wealth Management LLC now owns 6,271 shares of the company’s stock worth $269,000 after buying an additional 248 shares during the period. Brooklyn Investment Group grew its holdings 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 purchasing an additional 270 shares during the period. TD Private Client Wealth LLC grew its holdings in DraftKings by 54.4% during the second quarter. TD Private Client Wealth LLC now owns 800 shares of the company’s stock valued at $34,000 after purchasing an additional 282 shares during the period. Farther Finance Advisors LLC increased its stake in DraftKings by 9.1% in the second quarter. Farther Finance Advisors LLC now owns 3,413 shares of the company’s stock valued at $146,000 after purchasing an additional 286 shares in the last quarter. Finally, Obermeyer Wealth Partners raised its holdings in DraftKings by 3.4% in the first quarter. Obermeyer Wealth Partners now owns 8,930 shares of the company’s stock worth $297,000 after purchasing an additional 297 shares during the period. 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.