Bank of America Has Lowered Expectations for DraftKings (NASDAQ:DKNG) Stock Price

DraftKings (NASDAQ:DKNG) had its target price decreased by Bank of America from $60.00 to $50.00 in a research report report published on Friday,Benzinga reports. Bank of America currently has a buy rating on the stock.

Other equities analysts have also issued reports about the stock. TD Cowen dropped their price target 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. Stifel Nicolaus dropped their price objective on DraftKings from $57.00 to $53.00 and set a “buy” rating on the stock in a report on Tuesday, April 22nd. Mizuho reduced their target price on DraftKings from $62.00 to $59.00 and set an “outperform” rating for the company in a report on Monday, April 28th. Jefferies Financial Group set a $60.00 price target on DraftKings and gave the stock a “buy” rating in a research note on Sunday, April 13th. Finally, Northland Securities set a $50.00 price objective on DraftKings in a report on Friday, April 25th. Two equities research analysts have rated the stock with a hold rating and twenty-six have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $55.18.

DraftKings Trading Up 2.6 %

Shares of NASDAQ:DKNG opened at $36.26 on Friday. DraftKings has a 52 week low of $28.69 and a 52 week high of $53.61. The company’s 50 day moving average is $35.48 and its two-hundred day moving average is $39.26. The company has a market cap of $32.02 billion, a PE ratio of -34.21, a P/E/G ratio of 1.43 and a beta of 1.89. The company has a current ratio of 0.93, a quick ratio of 1.00 and a debt-to-equity ratio of 1.24.

DraftKings (NASDAQ:DKNG) last posted its quarterly earnings results on Thursday, February 13th. The company reported ($0.28) earnings per share for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.35). DraftKings had a negative net margin of 10.64% and a negative return on equity of 48.13%. Equities analysts predict that DraftKings will post 0.64 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Jason Robins sold 666,651 shares of DraftKings stock in a transaction that occurred on Tuesday, February 25th. The shares were sold at an average price of $42.42, for a total transaction of $28,279,335.42. Following the completion of the sale, the insider now directly owns 3,336,195 shares in the company, valued at approximately $141,521,391.90. This trade represents a 16.65 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Matthew Kalish sold 587,585 shares of the company’s stock in a transaction that occurred on Friday, February 21st. The stock was sold at an average price of $47.05, for a total value of $27,645,874.25. Following the completion of the sale, the insider now owns 4,118,927 shares in the company, valued at approximately $193,795,515.35. This represents a 12.48 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 2,681,079 shares of company stock valued at $112,941,617. Corporate insiders own 51.19% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in DKNG. Raiffeisen Bank International AG purchased a new position in DraftKings during the 4th quarter valued at about $25,000. Point72 Asia Singapore Pte. Ltd. purchased a new position in shares of DraftKings during the 4th quarter worth approximately $28,000. Stonebridge Financial Group LLC acquired a new position in shares of DraftKings during the 4th quarter worth approximately $28,000. Synergy Asset Management LLC purchased a new stake in DraftKings in the 4th quarter valued at approximately $30,000. Finally, FNY Investment Advisers LLC acquired a new stake in DraftKings during the 1st quarter valued at $26,000. 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.