1248 Management LLC Sells 5,472 Shares of DraftKings Inc. $DKNG

Key Points

• 1248 Management LLC sold 5,472 shares of DraftKings Inc., reducing its stake by 34.4%, leaving the firm with 10,413 shares valued at approximately $346,000.
• Several institutional investors, including Brown Advisory Inc. and IFM Investors Pty Ltd, have recently increased their positions in DraftKings, reflecting a growing interest in the stock.
• DraftKings reported $0.30 earnings per share for the last quarter, exceeding analysts' expectations of $0.16, and its revenue surged to $1.51 billion, up 36.9% year-over-year.

1248 Management LLC reduced its stake in shares of DraftKings Inc. (NASDAQ:DKNG - Free Report) by 34.4% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 10,413 shares of the company's stock after selling 5,472 shares during the quarter. 1248 Management LLC's holdings in DraftKings were worth $346,000 at the end of the most recent quarter.

Other institutional investors also recently modified their holdings of the company. Brown Advisory Inc. boosted its holdings in shares of DraftKings by 14.6% during the first quarter. Brown Advisory Inc. now owns 7,600 shares of the company's stock worth $252,000 after purchasing an additional 968 shares during the period. IFM Investors Pty Ltd boosted its holdings in shares of DraftKings by 9.3% during the first quarter. IFM Investors Pty Ltd now owns 83,750 shares of the company's stock worth $2,781,000 after purchasing an additional 7,147 shares during the period. Capital Investment Advisory Services LLC purchased a new stake in shares of DraftKings during the first quarter worth about $515,000. Allspring Global Investments Holdings LLC boosted its holdings in shares of DraftKings by 18.9% during the first quarter. Allspring Global Investments Holdings LLC now owns 2,728,482 shares of the company's stock worth $90,558,000 after purchasing an additional 434,525 shares during the period. Finally, Kentucky Retirement Systems purchased a new stake in shares of DraftKings during the first quarter worth about $1,026,000. 37.70% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on DKNG. Mizuho dropped their target price on shares of DraftKings from $59.00 to $58.00 and set an "outperform" rating for the company in a report on Monday, May 12th. Truist Financial increased their target price on shares of DraftKings from $50.00 to $55.00 and gave the stock a "buy" rating in a report on Wednesday, July 16th. Wall Street Zen lowered shares of DraftKings from a "buy" rating to a "hold" rating in a report on Saturday, August 30th. Needham & Company LLC restated a "buy" rating and issued a $65.00 price objective on shares of DraftKings in a report on Friday, May 9th. Finally, Sanford C. Bernstein assumed coverage on shares of DraftKings in a report on Wednesday, June 4th. They issued an "outperform" rating and a $46.00 price objective for the company. Twenty-four analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $54.37.

DraftKings Stock Down 1.8%

Shares of DKNG stock traded down $0.84 during trading hours on Friday, hitting $46.56. 8,402,464 shares of the company's stock traded hands, compared to its average volume of 7,660,442. The stock's fifty day simple moving average is $44.63 and its two-hundred day simple moving average is $39.72. DraftKings Inc. has a 12-month low of $29.64 and a 12-month high of $53.61. The stock has a market cap of $41.41 billion, a price-to-earnings ratio of -71.63, a PEG ratio of 1.12 and a beta of 1.73. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 1.82.

DraftKings (NASDAQ:DKNG - Get Free Report) last released its earnings results on Thursday, August 7th. The company reported $0.30 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.16 by $0.14. The firm had revenue of $1.51 billion during the quarter, compared to analyst estimates of $1.39 billion. DraftKings had a negative net margin of 5.63% and a negative return on equity of 30.06%. The business's revenue was up 36.9% on a year-over-year basis. During the same period last year, the business earned $0.12 earnings per share. DraftKings has set its FY 2025 guidance at EPS. On average, analysts expect that DraftKings Inc. will post 0.64 EPS for the current year.

Insider Activity at DraftKings

In related news, Director Jocelyn Moore sold 4,861 shares of the firm's stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $43.21, for a total transaction of $210,043.81. Following the completion of the sale, the director owned 1,461 shares of the company's stock, valued at $63,129.81. This trade represents a 76.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Matthew Kalish sold 210,000 shares of the firm's stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $42.90, for a total transaction of $9,009,000.00. Following the sale, the insider directly owned 4,190,233 shares of the company's stock, valued at $179,760,995.70. This trade represents a 4.77% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 816,662 shares of company stock valued at $35,460,274 over the last ninety days. Corporate insiders own 51.19% of the company's stock.

DraftKings Profile

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.