Wells Fargo & Company Issues Pessimistic Forecast for DraftKings (NASDAQ:DKNG) Stock Price

DraftKings (NASDAQ:DKNG) had its price objective cut by equities researchers at Wells Fargo & Company from $32.00 to $29.00 in a research note issued to investors on Monday, Marketbeat.com reports. The firm presently has an “overweight” rating on the stock. Wells Fargo & Company‘s price objective would indicate a potential upside of 21.59% from the company’s current price.

Other analysts have also issued research reports about the company. Truist Financial decreased their price objective on DraftKings from $33.00 to $30.00 and set a “buy” rating on the stock in a report on Tuesday, April 21st. Mizuho upped their target price on DraftKings from $44.00 to $45.00 and gave the company an “outperform” rating in a research note on Tuesday, May 12th. Deutsche Bank Aktiengesellschaft upped their target price on DraftKings from $26.00 to $28.00 and gave the company a “hold” rating in a research note on Thursday, July 9th. TD Cowen lifted their price target on shares of DraftKings from $30.00 to $35.00 and gave the stock a “buy” rating in a research note on Friday, July 10th. Finally, Raymond James Financial raised shares of DraftKings from a “market perform” rating to an “outperform” rating in a report on Friday, April 24th. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $34.43.

DraftKings Stock Down 1.9%

NASDAQ DKNG opened at $23.85 on Monday. The company has a debt-to-equity ratio of 3.03, a quick ratio of 1.02 and a current ratio of 1.02. The firm has a 50-day simple moving average of $25.79 and a 200 day simple moving average of $25.95. DraftKings has a twelve month low of $20.46 and a twelve month high of $48.78. The stock has a market cap of $11.83 billion, a PE ratio of 397.50 and a beta of 1.65.

DraftKings (NASDAQ:DKNG) last released its earnings results on Friday, May 8th. The company reported $0.20 earnings per share 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 return on equity of 13.51% and a net margin of 0.93%.The firm’s quarterly revenue was up 16.8% compared to the same quarter last year. During the same period last year, the business earned ($0.07) earnings per share. On average, research analysts forecast that DraftKings will post 0.54 EPS for the current year.

Insider Activity at DraftKings

In other news, insider R Stanton Dodge sold 62,500 shares of the company’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 value of $1,855,000.00. Following the sale, the insider directly owned 556,258 shares in the company, valued at approximately $16,509,737.44. This represents a 10.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Woodrow Levin sold 34,234 shares of the stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $25.71, for a total value of $880,156.14. Following the completion of the transaction, the director directly owned 29,820 shares of the company’s stock, valued at approximately $766,672.20. The trade was a 53.45% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 97,596 shares of company stock worth $2,756,991. Corporate insiders own 47.18% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Dagco Inc. acquired a new stake in shares of DraftKings in the 4th quarter valued at $26,000. Ascentis Independent Advisors acquired a new stake in shares of DraftKings during the 1st quarter worth about $27,000. Basecamp Wealth Advisors LLC increased its position 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 purchasing an additional 1,206 shares in the last quarter. CoreCap Advisors LLC increased its position in shares of DraftKings by 336.5% during the 2nd quarter. CoreCap Advisors LLC now owns 1,148 shares of the company’s stock worth $29,000 after purchasing an additional 885 shares in the last quarter. Finally, Montag A & Associates Inc. lifted its holdings in DraftKings by 82.5% during the 4th quarter. Montag A & Associates Inc. now owns 1,106 shares of the company’s stock valued at $38,000 after purchasing an additional 500 shares during the last quarter. 37.70% of the stock is currently owned by institutional investors and hedge funds.

DraftKings News Summary

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: DraftKings launched DKeX, a new platform expansion that could broaden its product offering and support longer-term engagement and revenue growth. DraftKings (NASDAQ:DKNG) Expands Platform With DKeX Launch
• Positive Sentiment: Truist and Wells Fargo both maintained bullish ratings on DraftKings while trimming price targets to $29, signaling continued analyst confidence despite near-term volatility. DraftKings price target updates
• Neutral Sentiment: Coverage pieces about why DraftKings is catching market attention and a broader casino-stocks roundup may be contributing to trading interest, but they do not appear to signal a major fundamental change. Why Is DraftKings (NASDAQ:DKNG) Catching Market Attention?
• Negative Sentiment: Recent trading has been weak, with DKNG falling more than the broader market and closing around $24.32 in the latest cited session, suggesting momentum remains soft. DraftKings (DKNG) Declines More Than Market: Some Information for Investors

DraftKings Company 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.