Sanford C. Bernstein Cuts DraftKings (NASDAQ:DKNG) Price Target to $32.00

DraftKings (NASDAQ:DKNG) had its price objective cut by Sanford C. Bernstein from $41.00 to $32.00 in a research note published on Friday morning, Marketbeat Ratings reports. They currently have an outperform rating on the stock.

Several other equities analysts also recently weighed in on DKNG. Wells Fargo & Company started coverage on DraftKings in a research report on Tuesday, November 18th. They set an “equal weight” rating and a $31.00 target price on the stock. Zacks Research upgraded shares of DraftKings from a “strong sell” rating to a “hold” rating in a report on Friday, January 9th. Susquehanna set a $44.00 target price on shares of DraftKings in a report on Tuesday, January 27th. Bank of America downgraded shares of DraftKings from a “buy” rating to a “neutral” rating and cut their price target for the stock from $48.00 to $35.00 in a research note on Tuesday, November 4th. Finally, Needham & Company LLC reissued a “buy” rating and set a $52.00 price objective on shares of DraftKings in a research note on Wednesday, November 19th. Twenty-three equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $45.79.

DraftKings Stock Up 4.3%

Shares of NASDAQ DKNG opened at $26.62 on Friday. The firm has a market cap of $13.25 billion, a P/E ratio of -46.70, a price-to-earnings-growth ratio of 0.46 and a beta of 1.67. 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 has a 1 year low of $25.01 and a 1 year high of $53.61. The firm’s 50 day moving average price is $33.09 and its 200 day moving average price is $36.80.

DraftKings (NASDAQ:DKNG) last issued 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). The business had revenue of $1.14 billion for the quarter, compared to analysts’ expectations of $1.40 billion. DraftKings had a negative return on equity of 22.84% and a negative net margin of 4.90%.The company’s revenue for the quarter was up 4.4% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.60) EPS. As a group, sell-side analysts anticipate that DraftKings will post 0.64 earnings per share for the current year.

Insider Buying and Selling

In related news, insider R Stanton Dodge sold 52,777 shares of the stock in a transaction on Tuesday, January 20th. The stock was sold at an average price of $32.01, for a total value of $1,689,391.77. Following the completion of the sale, the insider directly owned 500,000 shares in the company, valued at approximately $16,005,000. This represents a 9.55% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Alan Wayne Ellingson sold 8,421 shares of the business’s stock in a transaction dated Friday, November 14th. The stock was sold at an average price of $29.23, for a total value of $246,145.83. Following the transaction, the chief financial officer owned 126,990 shares in the company, valued at approximately $3,711,917.70. This represents a 6.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 113,975 shares of company stock valued at $3,721,511 in the last 90 days. 51.19% of the stock is currently owned by company insiders.

Institutional Trading of DraftKings

Hedge funds have recently made changes to their positions in the company. Integrated Wealth Concepts LLC lifted its position in shares of DraftKings by 5.9% during the first quarter. Integrated Wealth Concepts LLC now owns 9,460 shares of the company’s stock worth $314,000 after purchasing an additional 524 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in DraftKings by 1,141.0% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 44,044 shares of the company’s stock worth $1,463,000 after buying an additional 40,495 shares during the period. Empowered Funds LLC lifted its holdings in DraftKings by 18.0% in the 1st quarter. Empowered Funds LLC now owns 9,115 shares of the company’s stock worth $303,000 after buying an additional 1,391 shares in the last quarter. Sivia Capital Partners LLC purchased a new position in DraftKings in the 2nd quarter valued at about $603,000. Finally, Ameritas Advisory Services LLC purchased a new position in DraftKings in the 2nd quarter valued at about $48,000. Hedge funds and other institutional investors own 37.70% of the company’s stock.

Key Headlines Impacting DraftKings

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: DraftKings struck a deal with Crypto.com to add the first player-specific NFL and NBA contracts to DraftKings Predictions, expand sports coverage, integrate additional CFTC-regulated liquidity providers (and Railbird Exchange soon), and enable future categories (culture, politics). This strengthens product breadth and regulatory credibility for prediction markets. DraftKings Expands Prediction Markets Catalog in Deal With Crypto.com
• Positive Sentiment: Local expansion: DraftKings leased office space in Raleigh as it grows presence where sports betting is taking root in North Carolina — a sign of geographic growth and operating expansion. DraftKings leases space in Raleigh as sports betting takes root in North Carolina
• Neutral Sentiment: Sanford C. Bernstein cut its price target from $41 to $32 but kept an “Outperform” rating — a downgrade in near-term expectations but still constructive relative to consensus upside. DraftKings price target lowered by Bernstein
• Neutral Sentiment: Analyst sentiment is mixed ahead of DraftKings’ upcoming quarterly results — some firms remain constructive while others are trimming expectations, contributing to volatility into the print. Mixed Analyst Sentiment on DraftKings (DKNG) Ahead of Fourth-Quarter Results
• Negative Sentiment: Analyst downgrades and price-target cuts continue to pressure the stock — recent coverage includes cuts to ratings/targets and headlines noting a new 1‑year low after downgrades. This increases near-term downside risk if guidance or results disappoint. DraftKings Cut to “Hold” at Truist Financial
• Negative Sentiment: Competitive and operational risks: a short-seller report flagged mounting competition from Kalshi in prediction markets, and analysts/news outlets have raised concerns about sluggish growth and margin pressure — issues that could blunt the long-term revenue upside from new product launches. DraftKings faces mounting competition from Kalshi prediction markets, says short seller
• Negative Sentiment: Earnings risk: preview pieces suggest DraftKings may lack the catalysts for an earnings beat next week, increasing the chance of a negative reaction if revenue or margins fall short. DraftKings (DKNG) Earnings Expected to Grow: What to Know Ahead of Next Week’s Release

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.