DraftKings (NASDAQ:DKNG) Coverage Initiated at The Goldman Sachs Group

The Goldman Sachs Group initiated coverage on shares of DraftKings (NASDAQ:DKNG) in a report released on Tuesday morning, Marketbeat Ratings reports. The firm issued a buy rating and a $60.00 target price on the stock.

DKNG has been the topic of several other reports. Stifel Nicolaus upgraded shares of DraftKings from a hold rating to a buy rating and upped their price target for the company from $40.00 to $45.00 in a research note on Friday, January 19th. Mizuho assumed coverage on shares of DraftKings in a research note on Tuesday, March 26th. They issued a buy rating and a $58.00 price target on the stock. Oppenheimer upped their price target on shares of DraftKings from $55.00 to $60.00 and gave the company an outperform rating in a research note on Tuesday, February 20th. JPMorgan Chase & Co. reaffirmed an overweight rating and set a $55.00 price objective on shares of DraftKings in a research report on Thursday, March 28th. Finally, JMP Securities reaffirmed a market outperform rating and set a $52.00 price objective on shares of DraftKings in a research report on Monday, March 25th. Two research analysts have rated the stock with a sell rating, one has given a hold rating and twenty-five have assigned a buy rating to the stock. Based on data from MarketBeat, DraftKings has a consensus rating of Moderate Buy and a consensus target price of $46.93.

DraftKings Price Performance

NASDAQ:DKNG opened at $41.64 on Tuesday. DraftKings has a one year low of $20.26 and a one year high of $49.57. The company has a market cap of $36.09 billion, a P/E ratio of -23.79 and a beta of 1.86. The firm’s fifty day moving average price is $43.84 and its two-hundred day moving average price is $37.84. The company has a debt-to-equity ratio of 1.49, a current ratio of 1.34 and a quick ratio of 1.34.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings data on Friday, February 16th. The company reported ($0.10) EPS for the quarter, missing the consensus estimate of $0.06 by ($0.16). DraftKings had a negative net margin of 21.88% and a negative return on equity of 87.24%. The company had revenue of $1.23 billion during the quarter, compared to analyst estimates of $1.24 billion. During the same quarter in the prior year, the firm earned ($0.53) earnings per share. DraftKings’s revenue for the quarter was up 43.9% on a year-over-year basis. Equities analysts expect that DraftKings will post -0.25 earnings per share for the current year.

Insider Activity at DraftKings

In related news, insider Paul Liberman sold 510,000 shares of the firm’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $40.00, for a total value of $20,400,000.00. Following the completion of the transaction, the insider now owns 2,291,406 shares in the company, valued at approximately $91,656,240. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. In related news, insider Paul Liberman sold 510,000 shares of the firm’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $40.00, for a total value of $20,400,000.00. Following the completion of the transaction, the insider now owns 2,291,406 shares in the company, valued at approximately $91,656,240. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, insider Jason Robins sold 200,000 shares of the stock in a transaction that occurred on Wednesday, February 21st. The shares were sold at an average price of $40.89, for a total transaction of $8,178,000.00. Following the sale, the insider now directly owns 3,195,812 shares of the company’s stock, valued at approximately $130,676,752.68. The disclosure for this sale can be found here. Insiders sold a total of 1,596,101 shares of company stock worth $65,685,509 in the last quarter. 51.19% of the stock is owned by insiders.

Institutional Trading of DraftKings

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Silverlake Wealth Management LLC acquired a new stake in DraftKings during the 1st quarter valued at approximately $344,000. Allspring Global Investments Holdings LLC increased its position in DraftKings by 1,048.1% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 1,888,287 shares of the company’s stock valued at $85,747,000 after purchasing an additional 1,723,819 shares during the period. Miracle Mile Advisors LLC acquired a new stake in DraftKings during the 1st quarter valued at approximately $341,000. Winthrop Advisory Group LLC grew its position in shares of DraftKings by 2.4% during the 1st quarter. Winthrop Advisory Group LLC now owns 10,452 shares of the company’s stock worth $475,000 after buying an additional 244 shares during the period. Finally, First Dallas Securities Inc. grew its position in shares of DraftKings by 8.6% during the 1st quarter. First Dallas Securities Inc. now owns 46,800 shares of the company’s stock worth $2,125,000 after buying an additional 3,725 shares during the period. Institutional investors and hedge funds own 37.70% of the company’s stock.

About DraftKings

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.