Federated Hermes Inc. Cuts Holdings in DraftKings Inc. $DKNG

Federated Hermes Inc. cut its holdings in DraftKings Inc. (NASDAQ:DKNG) by 4.7% during the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,673,614 shares of the company’s stock after selling 81,769 shares during the quarter. Federated Hermes Inc.’s holdings in DraftKings were worth $62,593,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently bought and sold shares of DKNG. Norges Bank purchased a new position in DraftKings in the second quarter worth $362,554,000. Brown Advisory Inc. grew its stake in shares of DraftKings by 53,272.1% during the 2nd quarter. Brown Advisory Inc. now owns 4,056,280 shares of the company’s stock worth $173,974,000 after purchasing an additional 4,048,680 shares during the period. AQR Capital Management LLC increased its holdings in shares of DraftKings by 52.2% in the 2nd quarter. AQR Capital Management LLC now owns 7,147,665 shares of the company’s stock valued at $306,563,000 after purchasing an additional 2,451,421 shares in the last quarter. Columbus Hill Capital Management L.P. lifted its stake in shares of DraftKings by 1,379.5% in the second quarter. Columbus Hill Capital Management L.P. now owns 1,183,580 shares of the company’s stock valued at $50,764,000 after purchasing an additional 1,103,580 shares during the period. Finally, Bamco Inc. NY boosted its holdings in DraftKings by 33.9% during the second quarter. Bamco Inc. NY now owns 3,670,460 shares of the company’s stock worth $157,426,000 after buying an additional 929,997 shares in the last quarter. Institutional investors and hedge funds own 37.70% of the company’s stock.

DraftKings Price Performance

Shares of NASDAQ:DKNG opened at $29.94 on Friday. The business’s fifty day moving average price is $33.64 and its two-hundred day moving average price is $37.62. The stock has a market cap of $14.90 billion, a PE ratio of -52.53, a price-to-earnings-growth ratio of 0.63 and a beta of 1.63. The company has a debt-to-equity ratio of 2.51, a quick ratio of 1.09 and a current ratio of 1.10. DraftKings Inc. has a one year low of $26.23 and a one year high of $53.61.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings results on Friday, November 7th. The company reported ($0.26) earnings per share for the quarter, missing analysts’ consensus estimates 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 during the quarter, compared to analyst estimates of $1.40 billion. During the same period last year, the firm earned ($0.60) earnings per share. The business’s revenue was up 4.4% compared to the same quarter last year. On average, analysts forecast that DraftKings Inc. will post 0.64 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the stock. Benchmark reaffirmed a “buy” rating on shares of DraftKings in a report on Monday, January 12th. Wall Street Zen cut DraftKings from a “buy” rating to a “hold” rating in a report on Friday, October 3rd. Citigroup began coverage on DraftKings in a report on Friday, November 21st. They set a “buy” rating and a $48.00 price objective for the company. Bank of America downgraded DraftKings from a “buy” rating to a “neutral” rating and decreased their target price for the stock from $48.00 to $35.00 in a research report on Tuesday, November 4th. Finally, Jefferies Financial Group set a $52.00 price target on DraftKings in a research report on Monday, October 6th. Twenty-four equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, DraftKings currently has a consensus rating of “Moderate Buy” and a consensus target price of $46.86.

Insider Activity

In other news, Director Gregory Westin Wendt bought 10,000 shares of DraftKings stock in a transaction on Tuesday, November 11th. The shares were bought at an average cost of $30.27 per share, for a total transaction of $302,700.00. Following the acquisition, the director owned 10,000 shares in the company, valued at approximately $302,700. This trade represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider R Stanton Dodge sold 52,777 shares of the firm’s stock in a transaction dated Tuesday, January 20th. The stock was sold at an average price of $32.01, for a total transaction of $1,689,391.77. Following the sale, the insider directly owned 500,000 shares in the company, valued at $16,005,000. This represents a 9.55% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 166,752 shares of company stock worth $5,252,044. Company insiders own 51.19% of the company’s stock.

DraftKings Profile

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.