Insider Selling: DraftKings (NASDAQ:DKNG) Insider Sells $1,855,000.00 in Stock

DraftKings Inc. (NASDAQ:DKNG) insider R Stanton Dodge sold 62,500 shares of the firm’s stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $29.68, for a total transaction of $1,855,000.00. Following the completion of the transaction, the insider owned 556,258 shares of the company’s stock, valued at $16,509,737.44. This trade represents a 10.10% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

DraftKings Price Performance

DKNG stock opened at $29.00 on Monday. The firm has a 50 day moving average of $24.47 and a 200-day moving average of $27.55. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.03. DraftKings Inc. has a 12 month low of $20.46 and a 12 month high of $48.78. The firm has a market capitalization of $14.39 billion, a P/E ratio of 483.33 and a beta of 1.66.

DraftKings (NASDAQ:DKNG) last released its quarterly earnings data on Friday, May 8th. The company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.02). DraftKings had a net margin of 0.93% and a return on equity of 13.51%. The firm had revenue of $1.65 billion during the quarter, compared to the consensus estimate of $1.63 billion. During the same quarter last year, the business posted ($0.07) earnings per share. DraftKings’s revenue was up 16.8% compared to the same quarter last year. As a group, sell-side analysts predict that DraftKings Inc. will post 0.6 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of equities analysts have recently commented on the stock. Guggenheim cut their price objective on shares of DraftKings from $37.00 to $35.00 and set a “buy” rating for the company in a research report on Monday, May 11th. JPMorgan Chase & Co. cut their price objective on shares of DraftKings from $32.00 to $31.00 and set an “overweight” rating for the company in a research report on Thursday, April 16th. Susquehanna lowered their target price on shares of DraftKings from $33.00 to $32.00 and set a “positive” rating on the stock in a research note on Tuesday, March 31st. Berenberg Bank set a $26.40 target price on shares of DraftKings in a research note on Tuesday, February 24th. Finally, BNP Paribas Exane initiated coverage on shares of DraftKings in a research note on Thursday, May 14th. They issued an “underperform” rating and a $20.00 target price on the stock. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $34.21.

Institutional Investors Weigh In On DraftKings

A number of institutional investors and hedge funds have recently bought and sold shares of DKNG. Viking Global Investors LP purchased a new stake in DraftKings in the third quarter valued at approximately $561,125,000. Capital World Investors raised its stake in DraftKings by 181.4% in the fourth quarter. Capital World Investors now owns 18,626,429 shares of the company’s stock valued at $641,867,000 after purchasing an additional 12,008,357 shares in the last quarter. Janus Henderson Group PLC raised its stake in shares of DraftKings by 50.8% during the fourth quarter. Janus Henderson Group PLC now owns 25,313,909 shares of the company’s stock worth $858,893,000 after acquiring an additional 8,524,923 shares in the last quarter. Norges Bank purchased a new position in shares of DraftKings during the fourth quarter worth approximately $284,466,000. Finally, Spruce House Investment Management LLC raised its stake in shares of DraftKings by 129.6% during the first quarter. Spruce House Investment Management LLC now owns 9,650,000 shares of the company’s stock worth $208,633,000 after acquiring an additional 5,446,166 shares in the last quarter. 37.70% of the stock is owned by hedge funds and other institutional investors.

Key DraftKings News

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: DraftKings is drawing bullish attention after Oppenheimer reiterated a Buy rating, reinforcing optimism around the company’s growth outlook. DraftKings (DKNG) Receives a Buy from Oppenheimer
• Positive Sentiment: Investor enthusiasm picked up after DraftKings disclosed strong growth in its Predictions platform, with May volume reportedly surging and some articles calling it a potential new growth engine for the stock. Why DraftKings (DKNG) Stock Is Up Today
• Positive Sentiment: DraftKings also benefited from World Cup-related optimism, with analysts saying it could be a clear winner as sports betting activity rises during the tournament and marketing spend ramps up. Intel surges on rare double upgrade, DraftKings scores ahead of World Cup
• Positive Sentiment: Unusually heavy call-option buying and a strong weekly rally suggest traders are positioning for additional upside in DKNG. DKNG Bulls Are Eyeing A Breakout After Strongest Weekly Rally In 16 Months
• Neutral Sentiment: Some commentary notes DraftKings’ prediction-market business is growing quickly but is still relatively small versus larger rivals, so the long-term opportunity remains early-stage. DraftKings: Prediction Market Potential Is Becoming Clearer
• Negative Sentiment: JPMorgan cautioned that while May operating data showed progress, it does not yet point to immediate upside, which may temper some of the bullish momentum. DKNG Bulls Are Eyeing A Breakout After Strongest Weekly Rally In 16 Months

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.