Allspring Global Investments Holdings LLC Sells 678,712 Shares of DraftKings Inc. $DKNG

Key Points

• Allspring Global Investments Holdings LLC has reduced its stake in DraftKings Inc. by 24.9%, selling 678,712 shares, and now holds approximately 0.23% of the company valued at $86 million.
• DraftKings recently reported $1.51 billion in revenue for the quarter, exceeding expectations, and delivered an earnings per share (EPS) of $0.30, beating the consensus estimate by $0.14.
• Analysts have mixed opinions on DraftKings, with price targets ranging from $47.00 to $58.00, and the consensus rating is a "Moderate Buy" with an average price target of $53.17.

Allspring Global Investments Holdings LLC lowered its position in DraftKings Inc. (NASDAQ:DKNG - Free Report) by 24.9% in the 2nd quarter, according to its most recent 13F filing with the SEC. The firm owned 2,049,770 shares of the company's stock after selling 678,712 shares during the period. Allspring Global Investments Holdings LLC owned about 0.23% of DraftKings worth $86,070,000 at the end of the most recent quarter.

Other hedge funds also recently bought and sold shares of the company. FNY Investment Advisers LLC bought a new position in DraftKings in the 1st quarter worth $26,000. Smallwood Wealth Investment Management LLC bought a new position in DraftKings in the 1st quarter worth $27,000. Bank of Jackson Hole Trust bought a new position in DraftKings in the 1st quarter worth $31,000. TD Private Client Wealth LLC boosted its holdings in DraftKings by 54.4% in the 2nd quarter. TD Private Client Wealth LLC now owns 800 shares of the company's stock worth $34,000 after buying an additional 282 shares during the period. Finally, Summit Securities Group LLC boosted its holdings in DraftKings by 349.1% in the 1st quarter. Summit Securities Group LLC now owns 1,042 shares of the company's stock worth $35,000 after buying an additional 810 shares during the period. Institutional investors own 37.70% of the company's stock.

DraftKings Stock Up 2.7%

Shares of NASDAQ DKNG opened at $33.58 on Tuesday. The firm's 50-day moving average price is $42.97 and its 200-day moving average price is $39.63. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 1.82. The stock has a market capitalization of $16.67 billion, a price-to-earnings ratio of -51.66, a P/E/G ratio of 0.70 and a beta of 1.99. DraftKings Inc. has a 12-month low of $29.64 and a 12-month high of $53.61.

DraftKings (NASDAQ:DKNG - Get Free Report) last announced 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 for the quarter, compared to analysts' expectations 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% compared to the same quarter last year. During the same period in the prior year, the company earned $0.12 EPS. DraftKings has set its FY 2025 guidance at EPS. On average, equities research analysts anticipate that DraftKings Inc. will post 0.64 EPS for the current fiscal year.

Insider Activity

In related news, CFO Alan Wayne Ellingson sold 44,693 shares of the stock in a transaction dated Tuesday, August 19th. The shares were sold at an average price of $44.90, for a total value of $2,006,715.70. Following the sale, the chief financial officer directly owned 128,131 shares of the company's stock, valued at $5,753,081.90. This represents a 25.86% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Matthew Kalish sold 210,000 shares of the stock in a transaction dated Tuesday, August 12th. The stock was sold at an average price of $42.90, for a total transaction of $9,009,000.00. Following the completion of the sale, the insider directly owned 4,190,233 shares in the company, valued at $179,760,995.70. This trade represents a 4.77% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 658,331 shares of company stock worth $29,285,365. 47.08% of the stock is owned by insiders.

Analysts Set New Price Targets

Several research analysts have commented on the stock. Deutsche Bank Aktiengesellschaft set a $47.00 price objective on shares of DraftKings and gave the company a "hold" rating in a report on Friday, August 8th. Northland Capmk downgraded shares of DraftKings from a "strong-buy" rating to a "strong sell" rating in a report on Wednesday, October 1st. Mizuho dropped their price objective on shares of DraftKings from $58.00 to $54.00 and set an "outperform" rating for the company in a report on Tuesday, October 7th. Jefferies Financial Group set a $52.00 price objective on shares of DraftKings in a report on Monday, October 6th. Finally, Morgan Stanley reissued an "overweight" rating and set a $52.00 price objective (up previously from $51.00) on shares of DraftKings in a report on Friday, July 11th. Twenty-seven analysts have rated the stock with a Buy rating, one has given a Hold rating and three have assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $53.17.

DraftKings Company 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.

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