Wells Fargo & Company Cuts DraftKings (NASDAQ:DKNG) Price Target to $29.00

DraftKings (NASDAQ:DKNG) had its target price cut by Wells Fargo & Company from $32.00 to $29.00 in a research report report published on Monday morning, MarketBeat Ratings reports. They currently have an overweight rating on the stock.

Several other brokerages also recently commented on DKNG. Citigroup reiterated a “market outperform” rating on shares of DraftKings in a report on Monday, June 22nd. Weiss Ratings cut shares of DraftKings from a “sell (d+)” rating to a “sell (d)” rating in a report on Monday, May 11th. Scotiabank raised DraftKings to an “outperform” rating in a research report on Friday, April 24th. Guggenheim reiterated a “buy” rating and issued a $35.00 price objective on shares of DraftKings in a research note on Wednesday, June 24th. Finally, Wedbush began coverage on DraftKings in a research report on Friday, April 24th. They set an “outperform” rating for the company. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating, eight have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, DraftKings has a consensus rating of “Moderate Buy” and an average price target of $34.37.

DraftKings Trading Down 4.3%

Shares of DKNG stock opened at $22.83 on Monday. DraftKings has a 12 month low of $20.46 and a 12 month high of $48.78. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 3.03. The business’s 50 day moving average is $25.74 and its two-hundred day moving average is $25.86. The company has a market cap of $11.33 billion, a PE ratio of 380.50 and a beta of 1.65.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Friday, May 8th. The company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.02). The firm had revenue of $1.65 billion during the quarter, compared to the consensus estimate of $1.63 billion. DraftKings had a net margin of 0.93% and a return on equity of 13.51%. The company’s revenue for the quarter was up 16.8% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.07) EPS. Equities analysts predict that DraftKings will post 0.54 EPS for the current year.

Insider Buying and Selling at DraftKings

In other DraftKings news, Director Woodrow Levin sold 34,234 shares of the firm’s 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 sale, the director directly owned 29,820 shares in the company, valued at $766,672.20. This trade represents a 53.45% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider R Stanton Dodge sold 62,500 shares of the firm’s stock in a transaction on 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 $16,509,737.44. This 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. Over the last quarter, insiders have sold 97,596 shares of company stock valued at $2,756,991. Corporate insiders own 47.18% of the company’s stock.

Institutional Investors Weigh In On DraftKings

Several hedge funds have recently made changes to their positions in DKNG. Vanguard Group Inc. increased its stake in DraftKings by 3.1% during 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 during the period. Janus Henderson Group PLC increased its position in shares of DraftKings by 9.3% during the first quarter. Janus Henderson Group PLC now owns 27,665,699 shares of the company’s stock valued at $588,288,000 after purchasing an additional 2,351,790 shares during the period. Viking Global Investors LP increased its position in shares of DraftKings by 27.4% during the fourth quarter. Viking Global Investors LP now owns 19,119,912 shares of the company’s stock valued at $658,872,000 after purchasing an additional 4,116,561 shares during the period. Capital World Investors raised its stake in shares of DraftKings by 181.4% in the fourth quarter. Capital World Investors now owns 18,626,429 shares of the company’s stock valued at $641,867,000 after purchasing an additional 12,008,357 shares in the last quarter. Finally, AQR Capital Management LLC lifted its position in DraftKings by 41.0% in the fourth quarter. AQR Capital Management LLC now owns 16,474,009 shares of the company’s stock worth $567,694,000 after purchasing an additional 4,788,337 shares during the period. 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.