Littlejohn Financial Services Inc. Purchases New Stake in DraftKings Inc. $DKNG

Littlejohn Financial Services Inc. purchased a new stake in shares of DraftKings Inc. (NASDAQ:DKNG) in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 29,830 shares of the company’s stock, valued at approximately $1,028,000.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. IHT Wealth Management LLC raised its holdings in DraftKings by 4.1% during the 2nd quarter. IHT Wealth Management LLC now owns 6,271 shares of the company’s stock valued at $269,000 after buying an additional 248 shares during the last quarter. Orion Porfolio Solutions LLC raised its holdings in DraftKings by 3.1% during the 3rd quarter. Orion Porfolio Solutions LLC now owns 10,608 shares of the company’s stock valued at $397,000 after buying an additional 321 shares during the last quarter. Huntleigh Advisors Inc. raised its holdings in DraftKings by 0.8% during the 3rd quarter. Huntleigh Advisors Inc. now owns 43,630 shares of the company’s stock valued at $1,632,000 after buying an additional 363 shares during the last quarter. TD Private Client Wealth LLC raised its holdings in DraftKings by 45.6% during the 3rd quarter. TD Private Client Wealth LLC now owns 1,165 shares of the company’s stock valued at $44,000 after buying an additional 365 shares during the last quarter. Finally, Ameriflex Group Inc. raised its holdings in DraftKings by 100.0% during the 3rd quarter. Ameriflex Group Inc. now owns 810 shares of the company’s stock valued at $30,000 after buying an additional 405 shares during the last quarter. 37.70% of the stock is currently owned by institutional investors.

DraftKings Stock Down 0.6%

Shares of DraftKings stock opened at $25.00 on Friday. The company has a debt-to-equity ratio of 3.03, a current ratio of 1.02 and a quick ratio of 1.03. The company has a 50-day moving average of $23.68 and a 200 day moving average of $28.14. The firm has a market cap of $12.40 billion, a price-to-earnings ratio of 416.67, a PEG ratio of 1.18 and a beta of 1.67. DraftKings Inc. has a 1 year low of $20.46 and a 1 year high of $48.78.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings results on Friday, May 8th. The company reported $0.20 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.22 by ($0.02). The business had revenue of $1.65 billion during the quarter, compared to the consensus estimate of $1.63 billion. DraftKings had a return on equity of 13.51% and a net margin of 0.93%.The firm’s revenue was up 16.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.07) earnings per share. As a group, sell-side analysts anticipate that DraftKings Inc. will post 0.56 earnings per share for the current fiscal year.

DraftKings News Roundup

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: Morgan Stanley said DraftKings could see an upside catalyst from the FIFA World Cup, which may drive incremental wagering activity over the next few months. DraftKings Faces Upside From FIFA World Cup Driving Incremental Wagers Over Next Few Months, Morgan Stanley Says
• Positive Sentiment: Oppenheimer reaffirmed its Buy rating on DraftKings, and another article argued that the company’s earnings quality looks stronger than the headline statutory profit suggests, supporting the view that fundamentals may be better than the stock’s reaction implies. Oppenheimer Reaffirms Their Buy Rating on DraftKings (DKNG) Statutory Profit Doesn’t Reflect How Good DraftKings’ (NASDAQ:DKNG) Earnings Are
• Positive Sentiment: DraftKings presented at MoffettNathanson’s Media, Internet & Communications Conference, which keeps management visible to investors and may help reinforce the company’s growth story. DraftKings Inc. (DKNG) Presents at MoffettNathanson’s Media, Internet & Communications Conference Transcript
• Neutral Sentiment: Several articles focused on whether DraftKings is a “buy” based on Wall Street recommendations, but these pieces were largely commentary on analyst ratings rather than new company-specific developments. Is DraftKings (DKNG) a Buy as Wall Street Analysts Look Optimistic? Is DraftKings (DKNG) a Buy as Wall Street Analysts Look Optimistic?
• Neutral Sentiment: DraftKings also announced Alan Ellingson’s participation in an upcoming event, which is mostly an informational update with limited immediate stock impact. DraftKings Announces Alan Ellingson’s Participation in Upcoming Event
• Negative Sentiment: BNP Paribas Exane downgraded DraftKings to “strong sell,” adding pressure to the stock and reinforcing concerns that some analysts see downside from current levels. DraftKings was upgraded by BNP Paribas Exane to “strong sell”
• Negative Sentiment: Commentary from Jim Cramer and related coverage highlighted DraftKings’ weak share performance over the past year, while noting Argus cut its rating to Hold, which may have added to investor caution. Jim Cramer Discusses Drafkings’ (DKNG) Performance

Analyst Ratings Changes

DKNG has been the subject of several research reports. Citigroup upped their price objective on shares of DraftKings from $29.00 to $30.00 and gave the stock a “buy” rating in a report on Tuesday. Bank of America decreased their price objective on shares of DraftKings from $37.50 to $30.00 and set a “neutral” rating for the company in a report on Friday, February 13th. Jefferies Financial Group lowered shares of DraftKings from a “buy” rating to a “hold” rating in a report on Friday, April 24th. Citizens Jmp decreased their price objective on shares of DraftKings from $38.00 to $34.00 and set a “market outperform” rating for the company in a report on Wednesday, April 1st. Finally, HSBC upgraded shares of DraftKings from a “hold” rating to a “hold” rating in a report on Friday, April 24th. Twenty-seven investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, DraftKings currently has a consensus rating of “Moderate Buy” and an average price target of $34.32.

Insider Buying and Selling at DraftKings

In related news, Director Jocelyn Moore sold 2,150 shares of the stock in a transaction dated Friday, March 13th. The shares were sold at an average price of $25.60, for a total value of $55,040.00. Following the completion of the transaction, the director directly owned 1,406 shares in the company, valued at $35,993.60. This trade represents a 60.46% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Harry Sloan purchased 100,000 shares of the firm’s stock in a transaction that occurred on Tuesday, February 17th. The stock was acquired at an average price of $21.85 per share, with a total value of $2,185,000.00. Following the completion of the purchase, the director owned 350,219 shares in the company, valued at $7,652,285.15. This represents a 39.96% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have sold 496,718 shares of company stock valued at $12,477,308 in the last quarter. 47.18% of the stock is owned by insiders.

DraftKings Profile

DraftKings Inc is a leading digital sports entertainment and gaming company specializing in daily fantasy sports, sports betting and iGaming products. The company provides an integrated platform where users can participate in daily fantasy contests, place wagers on professional sports events, and enjoy a range of online casino-style games. DraftKings’ proprietary technology supports real-time odds, live scoring and advanced analytics to enhance the user experience across mobile and desktop applications.

Founded in 2012 by co-founders Jason Robins, Matthew Kalish and Paul Liberman, DraftKings began as a daily fantasy sports provider and rapidly expanded into regulated sports betting following legislative changes in the United States.