DraftKings (NASDAQ:DKNG) Stock Price Expected to Rise, JPMorgan Chase & Co. Analyst Says

DraftKings (NASDAQ:DKNG) had its price objective upped by analysts at JPMorgan Chase & Co. from $31.00 to $34.00 in a research note issued to investors on Wednesday,Benzinga reports. The firm presently has an “overweight” rating on the stock. JPMorgan Chase & Co.‘s target price would indicate a potential upside of 34.87% from the stock’s current price.

Other research analysts have also issued reports about the company. Benchmark reissued a “buy” rating on shares of DraftKings in a research report on Monday, June 22nd. Roth Capital upgraded DraftKings from a “sell” rating to a “buy” rating in a research report on Friday, April 24th. Needham & Company LLC reaffirmed a “buy” rating and set a $35.00 target price on shares of DraftKings in a research note on Monday, May 11th. Argus downgraded DraftKings from a “buy” rating to a “hold” rating in a report on Tuesday, March 17th. Finally, Weiss Ratings cut shares of DraftKings from a “sell (d+)” rating to a “sell (d)” rating in a report on Monday, May 11th. One equities 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’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $34.56.

DraftKings Stock Performance

Shares of DKNG opened at $25.21 on Wednesday. The company has a 50-day moving average of $25.80 and a two-hundred day moving average of $26.30. The stock has a market cap of $12.51 billion, a price-to-earnings ratio of 420.17 and a beta of 1.65. The company has a debt-to-equity ratio of 3.03, a current ratio of 1.02 and a quick ratio of 1.02. DraftKings has a one year low of $20.46 and a one year high of $48.78.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Friday, May 8th. The company reported $0.20 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.02). The firm had revenue of $1.65 billion for the quarter, compared to analyst estimates of $1.63 billion. DraftKings had a net margin of 0.93% and a return on equity of 13.51%. The firm’s revenue was up 16.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned ($0.07) EPS. On average, equities research analysts expect that DraftKings will post 0.59 earnings per share for the current year.

Insider Activity at DraftKings

In other DraftKings news, Director Woodrow Levin sold 34,234 shares of DraftKings stock in a transaction that occurred 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 sale, the director directly owned 29,820 shares in the company, valued at $766,672.20. The trade was a 53.45% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider R Stanton Dodge sold 62,500 shares of the business’s stock in a transaction that occurred 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 directly owned 556,258 shares of the company’s stock, valued at $16,509,737.44. This represents a 10.10% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 97,596 shares of company stock worth $2,756,991. Insiders own 47.18% of the company’s stock.

Institutional Investors Weigh In On DraftKings

A number of large investors have recently bought and sold shares of DKNG. LifeGoal Investments LLC acquired a new position in DraftKings during the second quarter worth $218,000. CoreCap Advisors LLC lifted its position in shares of DraftKings by 336.5% in the second quarter. CoreCap Advisors LLC now owns 1,148 shares of the company’s stock worth $29,000 after buying an additional 885 shares during the last quarter. Stableford Capital II LLC bought a new stake in shares of DraftKings during the 2nd quarter worth about $835,000. Basecamp Wealth Advisors LLC boosted its stake 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 worth $27,000 after acquiring an additional 1,206 shares in the last quarter. Finally, Pacer Advisors Inc. increased its holdings in shares of DraftKings by 13.5% during the 1st quarter. Pacer Advisors Inc. now owns 12,369 shares of the company’s stock valued at $267,000 after acquiring an additional 1,468 shares during the last quarter. 37.70% of the stock is currently owned by institutional investors.

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.