JPMorgan Chase & Co. Cuts DraftKings (NASDAQ:DKNG) Price Target to $33.00

DraftKings (NASDAQ:DKNG) had its price objective cut by equities research analysts at JPMorgan Chase & Co. from $34.00 to $33.00 in a report released on Monday,Benzinga reports. The brokerage currently has an “overweight” rating on the stock. JPMorgan Chase & Co.‘s price objective points to a potential upside of 36.67% from the company’s previous close.

A number of other analysts have also recently commented on the company. BNP Paribas Exane began coverage on DraftKings in a research report on Thursday, May 14th. They issued an “underperform” rating and a $20.00 price target for the company. Wedbush started coverage on DraftKings in a research note on Friday, April 24th. They set an “outperform” rating for the company. Wells Fargo & Company reduced their target price on shares of DraftKings from $32.00 to $29.00 and set an “overweight” rating for the company in a report on Monday, July 20th. Susquehanna lowered their price target on shares of DraftKings from $32.00 to $31.00 and set a “positive” rating on the stock in a report on Wednesday, July 1st. Finally, Stephens started coverage on shares of DraftKings in a research report on Friday, April 24th. They issued an “overweight” rating for the company. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, DraftKings presently has an average rating of “Moderate Buy” and an average target price of $34.05.

DraftKings Stock Performance

Shares of DKNG stock traded up $0.12 during trading hours on Monday, reaching $24.14. The company had a trading volume of 12,635,444 shares, compared to its average volume of 13,937,329. The company has a debt-to-equity ratio of 3.03, a quick ratio of 1.02 and a current ratio of 1.02. The business has a fifty day moving average price of $25.37 and a 200-day moving average price of $24.91. DraftKings has a one year low of $20.46 and a one year high of $48.78. The firm has a market cap of $11.98 billion, a PE ratio of -64.08 and a beta of 1.66.

DraftKings (NASDAQ:DKNG) last announced its 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). DraftKings had a negative return on equity of 10.88% and a negative net margin of 2.68%.The firm had revenue of $1.65 billion during the quarter, compared to analysts’ expectations of $1.63 billion. During the same period in the previous year, the business posted ($0.07) earnings per share. The company’s revenue for the quarter was up 16.8% on a year-over-year basis. Sell-side analysts predict that DraftKings will post 0.54 earnings per share for the current fiscal year.

Insider Buying and Selling at DraftKings

In other DraftKings news, Director Woodrow Levin sold 34,234 shares of DraftKings stock in a transaction on Monday, May 18th. The shares were sold at an average price of $25.71, for a total value of $880,156.14. Following the completion of the transaction, the director directly owned 29,820 shares of the company’s stock, valued at $766,672.20. This trade represents a 53.45% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, insider R Stanton Dodge sold 62,500 shares of the business’s stock in a transaction dated Thursday, June 11th. The stock was sold at an average price of $29.68, for a total transaction of $1,855,000.00. Following the completion of the sale, the insider owned 556,258 shares in the company, valued at approximately $16,509,737.44. This trade represents a 10.10% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 97,596 shares of company stock worth $2,756,991 in the last 90 days. 47.18% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Ascentis Independent Advisors bought a new stake in shares of DraftKings in the 1st quarter valued at approximately $27,000. Basecamp Wealth Advisors LLC increased its position in shares of DraftKings by 3,547.1% during the 1st quarter. Basecamp Wealth Advisors LLC now owns 1,240 shares of the company’s stock valued at $27,000 after purchasing an additional 1,206 shares during the last quarter. CoreCap Advisors LLC raised its holdings in DraftKings by 336.5% during the 2nd quarter. CoreCap Advisors LLC now owns 1,148 shares of the company’s stock valued at $29,000 after buying an additional 885 shares during the period. Montag A & Associates Inc. lifted its position in DraftKings by 82.5% in the fourth quarter. Montag A & Associates Inc. now owns 1,106 shares of the company’s stock worth $38,000 after buying an additional 500 shares during the last quarter. Finally, SHP Wealth Management bought a new stake in DraftKings in the fourth quarter worth $42,000. Institutional investors own 37.70% of the company’s stock.

DraftKings Company 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.