Canaccord Genuity Group Lowers DraftKings (NASDAQ:DKNG) Price Target to $50.00

DraftKings (NASDAQ:DKNG) had its price objective lowered by stock analysts at Canaccord Genuity Group from $54.00 to $50.00 in a research note issued on Tuesday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Canaccord Genuity Group’s price objective suggests a potential upside of 82.35% from the stock’s previous close.

Several other equities analysts also recently weighed in on DKNG. Stifel Nicolaus cut their target price on DraftKings from $46.00 to $44.00 and set a “buy” rating on the stock in a research report on Friday. Redburn Partners set a $35.00 price objective on shares of DraftKings in a research note on Friday. Truist Financial reduced their target price on shares of DraftKings from $45.00 to $43.00 and set a “buy” rating on the stock in a research note on Monday, December 22nd. Texas Capital raised shares of DraftKings to a “hold” rating in a research note on Thursday, January 8th. Finally, Susquehanna set a $44.00 price target on shares of DraftKings in a report on Tuesday, January 27th. Twenty-four analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $46.27.

DraftKings Stock Down 0.3%

Shares of NASDAQ:DKNG opened at $27.42 on Tuesday. The company has a current ratio of 1.10, a quick ratio of 1.09 and a debt-to-equity ratio of 2.51. DraftKings has a 12 month low of $26.23 and a 12 month high of $53.61. The company has a 50-day moving average price of $33.55 and a 200 day moving average price of $37.30. The company has a market cap of $13.65 billion, a price-to-earnings ratio of -48.11, a PEG ratio of 0.47 and a beta of 1.63.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings data on Friday, November 7th. The company reported ($0.26) earnings per share for the quarter, missing the consensus estimate of $0.01 by ($0.27). DraftKings had a negative return on equity of 22.84% and a negative net margin of 4.90%.The company had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.40 billion. During the same period in the previous year, the firm earned ($0.60) earnings per share. The company’s revenue was up 4.4% compared to the same quarter last year. As a group, equities research analysts predict that DraftKings will post 0.64 earnings per share for the current year.

Insider Activity at DraftKings

In related news, CFO Alan Wayne Ellingson sold 8,421 shares of the business’s stock in a transaction that occurred on Friday, November 14th. The stock was sold at an average price of $29.23, for a total value of $246,145.83. Following the completion of the sale, the chief financial officer owned 126,990 shares in the company, valued at approximately $3,711,917.70. The trade was a 6.22% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Harry Sloan acquired 25,000 shares of the company’s stock in a transaction that occurred on Tuesday, November 11th. The stock was purchased at an average cost of $30.30 per share, for a total transaction of $757,500.00. Following the purchase, the director owned 249,712 shares of the company’s stock, valued at $7,566,273.60. This represents a 11.13% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold 166,752 shares of company stock valued at $5,252,044 over the last 90 days. 51.19% of the stock is currently owned by insiders.

Hedge Funds Weigh In On DraftKings

Hedge funds and other institutional investors have recently made changes to their positions in the company. Vanguard Group Inc. raised its holdings in shares of DraftKings by 3.1% in the fourth quarter. Vanguard Group Inc. now owns 44,758,204 shares of the company’s stock valued at $1,542,368,000 after acquiring an additional 1,354,457 shares in the last quarter. Viking Global Investors LP purchased a new position in DraftKings during the 3rd quarter valued at about $561,125,000. AQR Capital Management LLC increased its position in DraftKings by 63.5% during the 3rd quarter. AQR Capital Management LLC now owns 11,685,672 shares of the company’s stock valued at $437,044,000 after purchasing an additional 4,538,007 shares during the period. Geode Capital Management LLC raised its holdings in shares of DraftKings by 5.4% in the 2nd quarter. Geode Capital Management LLC now owns 9,014,088 shares of the company’s stock valued at $385,552,000 after purchasing an additional 458,452 shares in the last quarter. Finally, Norges Bank purchased a new stake in shares of DraftKings in the 2nd quarter worth approximately $362,554,000. Institutional investors own 37.70% of the company’s stock.

About DraftKings

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.