Assenagon Asset Management S.A. Sells 92,275 Shares of DraftKings Inc. $DKNG

Key Points

• Assenagon Asset Management cut its DraftKings stake by 68.6%, selling 92,275 shares and retaining 42,229 shares valued at approximately $802,000. Institutional investors and hedge funds collectively own 37.7% of the company.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $33.29. Recent targets range from $27 to $38, despite some downward revisions.
• DraftKings opened at $20.94, near the lower end of its $18.35–$36.98 52-week range. Its latest quarterly results beat EPS estimates but missed revenue expectations, with revenue down 4.6% year over year and the company still reporting negative net margin and return on equity.

Assenagon Asset Management S.A. decreased its holdings in shares of DraftKings Inc. (NASDAQ:DKNG - Free Report) by 68.6% during the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 42,229 shares of the company's stock after selling 92,275 shares during the period. Assenagon Asset Management S.A.'s holdings in DraftKings were worth $802,000 at the end of the most recent reporting period.

Other large investors have also added to or reduced their stakes in the company. Renaissance Technologies LLC acquired a new position in shares of DraftKings during the 1st quarter valued at $17,660,000. Spruce House Investment Management LLC boosted its stake in 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. Janus Henderson Group PLC boosted its stake in DraftKings by 9.3% during the first quarter. Janus Henderson Group PLC now owns 27,665,699 shares of the company's stock worth $588,288,000 after acquiring an additional 2,351,790 shares in the last quarter. Edgestream Partners L.P. acquired a new stake in DraftKings in the first quarter worth $4,473,000. Finally, Entropy Technologies LP acquired a new stake in DraftKings in the first quarter worth $2,669,000. Institutional investors and hedge funds own 37.70% of the company's stock.

Analyst Ratings Changes

Several research analysts have issued reports on DKNG shares. Bank of America upgraded DraftKings from a "neutral" rating to a "buy" rating and set a $27.00 price target on the stock in a report on Monday, October 5th. TD Cowen boosted their price objective on DraftKings from $30.00 to $35.00 and gave the company a "buy" rating in a report on Friday, July 10th. Benchmark boosted their price objective on DraftKings from $29.00 to $30.00 and gave the company a "buy" rating in a report on Friday, August 7th. Morgan Stanley lowered their target price on DraftKings from $36.00 to $31.00 and set an "overweight" rating on the stock in a research report on Monday. Finally, Stifel Nicolaus cut their target price on DraftKings from $40.00 to $38.00 and set a "buy" rating on the stock in a report on Wednesday, July 22nd. One research analyst has rated the stock with a Strong Buy rating, thirty have assigned a Buy rating, six have given a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $33.29.

DraftKings Price Performance

Shares of NASDAQ:DKNG opened at $20.94 on Friday. The company has a debt-to-equity ratio of 3.22, a quick ratio of 1.02 and a current ratio of 1.02. The stock's fifty day simple moving average is $22.37 and its two-hundred day simple moving average is $23.93. DraftKings Inc. has a 1-year low of $18.35 and a 1-year high of $36.98.

DraftKings (NASDAQ:DKNG - Get Free Report) last posted its quarterly earnings data on Friday, August 7th. The company reported $0.09 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.02 by $0.07. DraftKings had a negative net margin of 2.68% and a negative return on equity of 11.26%. The firm had revenue of $1.44 billion for the quarter, compared to the consensus estimate of $1.51 billion. During the same period in the previous year, the firm earned $0.30 EPS. The business's revenue for the quarter was down 4.6% compared to the same quarter last year. Research analysts expect that DraftKings Inc. will post 0.40 EPS for the current year.

Insider Buying and Selling

In other DraftKings news, Director Jocelyn Moore sold 10,759 shares of the stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $24.05, for a total value of $258,753.95. Following the completion of the sale, the director owned 1,881 shares in the company, valued at approximately $45,238.05. This trade represents a 85.12% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 47.18% of the company's stock.

About DraftKings

DraftKings Inc is a digital sports entertainment and gaming company that operates online and mobile platforms for sports betting, casino gaming and daily fantasy sports. Its offerings include the DraftKings Sportsbook, DraftKings Casino and daily fantasy contests covering a range of professional and collegiate sports.

The company also provides related entertainment and media content through DraftKings Network, along with free-to-play games, promotions and other interactive products designed to complement its sports and gaming platforms.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.