Capital Research Global Investors Has $158.70 Million Stake in DraftKings Inc. $DKNG

Key Points

• Capital Research Global Investors trimmed its DraftKings stake by 13.1%, selling 641,609 shares and ending the quarter with 4,243,201 shares valued at about $158.7 million.
• Other large institutional moves included Norges Bank building a new ~ $362.6 million position and big increases from Brown Advisory and AQR, with institutions now owning roughly 37.7% of DKNG.
• DraftKings is launching a prediction‑markets product integrated with ESPN and NBCUniversal and a unified "super app," strategic catalysts that, alongside a consensus "Moderate Buy" rating and average price target of $37.19, could boost engagement and revenue if execution and margins improve.

Capital Research Global Investors lessened its position in DraftKings Inc. (NASDAQ:DKNG - Free Report) by 13.1% in the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 4,243,201 shares of the company's stock after selling 641,609 shares during the period. Capital Research Global Investors owned 0.85% of DraftKings worth $158,696,000 at the end of the most recent quarter.

Several other large investors have also recently bought and sold shares of the company. Norges Bank acquired a new stake in shares of DraftKings during the second quarter valued at about $362,554,000. Brown Advisory Inc. increased its stake in shares of DraftKings by 53,272.1% in the second quarter. Brown Advisory Inc. now owns 4,056,280 shares of the company's stock valued at $173,974,000 after buying an additional 4,048,680 shares during the period. AQR Capital Management LLC increased its stake in shares of DraftKings by 52.2% in the second quarter. AQR Capital Management LLC now owns 7,147,665 shares of the company's stock valued at $306,563,000 after buying an additional 2,451,421 shares during the period. Columbus Hill Capital Management L.P. raised its holdings in DraftKings by 1,379.5% in the 2nd quarter. Columbus Hill Capital Management L.P. now owns 1,183,580 shares of the company's stock valued at $50,764,000 after buying an additional 1,103,580 shares during the last quarter. Finally, Bamco Inc. NY raised its holdings in DraftKings by 33.9% in the 2nd quarter. Bamco Inc. NY now owns 3,670,460 shares of the company's stock valued at $157,426,000 after buying an additional 929,997 shares during the last quarter. 37.70% of the stock is currently owned by institutional investors.

Key DraftKings News

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: DraftKings is rolling out a prediction‑markets product ("DraftKings Predictions") with integrations across ESPN and NBCUniversal, which could broaden engagement and add a new revenue stream that leverages its sportsbook customer base. This product push is a clear strategic catalyst for growth.
• Positive Sentiment: DraftKings launched a unified "super app" that combines betting and content; media coverage says the app is creating buzz and could increase customer engagement and cross‑sell. Read More.
• Positive Sentiment: Short interest has come down from mid‑February levels (reported ~32.1M shares after a ~16.9% drop), reducing some short‑pressure risk and lowering the potential for future squeezes to drive volatility.
• Neutral Sentiment: Brokerage/analyst attention is elevated: multiple writeups note brokers view DKNG as a buy on average, and several stories are re‑examining valuation after mixed short‑term performance — this keeps DraftKings in investors' screens but may produce mixed trading reactions. Read More.
• Neutral Sentiment: Coverage and search interest spikes (Zacks/MarketBeat summaries) increase visibility; that can amplify both inflows and volatility without guaranteeing direction. Read More.
• Negative Sentiment: Headwinds remain: DKNG is still well below its 50‑ and 200‑day moving averages and is down materially year‑to‑date, valuation metrics remain stretched for a cash‑burning company (negative PE, elevated debt/equity), so upside depends on execution and sustained margin improvement.

Insider Activity at DraftKings

In related news, insider R Stanton Dodge sold 52,777 shares of the business's stock in a transaction on Tuesday, January 20th. The shares were sold at an average price of $32.01, for a total value of $1,689,391.77. Following the transaction, the insider owned 500,000 shares in the company, valued at $16,005,000. The trade was a 9.55% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Harry Sloan purchased 100,000 shares of the business's stock in a transaction on Tuesday, February 17th. The shares were purchased at an average cost of $21.85 per share, for a total transaction of $2,185,000.00. Following the transaction, the director directly owned 350,219 shares of the company's stock, valued at approximately $7,652,285.15. The trade was a 39.96% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold a total of 62,928 shares of company stock worth $1,923,728 over the last quarter. Company insiders own 51.19% of the company's stock.

Analysts Set New Price Targets

A number of research firms have weighed in on DKNG. Canaccord Genuity Group reduced their target price on shares of DraftKings from $50.00 to $44.00 and set a "buy" rating on the stock in a report on Friday, February 13th. Weiss Ratings reiterated a "sell (d-)" rating on shares of DraftKings in a report on Wednesday, January 21st. Needham & Company LLC reissued a "buy" rating and issued a $35.00 price objective on shares of DraftKings in a research note on Tuesday, March 3rd. Texas Capital upgraded DraftKings to a "hold" rating in a report on Thursday, January 8th. Finally, UBS Group reaffirmed a "buy" rating on shares of DraftKings in a research report on Wednesday, January 7th. Twenty-five research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, DraftKings currently has a consensus rating of "Moderate Buy" and an average price target of $37.19.

DraftKings Trading Up 1.7%

NASDAQ:DKNG opened at $25.57 on Thursday. The firm's fifty day moving average is $28.26 and its 200-day moving average is $33.55. The company has a debt-to-equity ratio of 2.91, a quick ratio of 1.03 and a current ratio of 1.03. DraftKings Inc. has a 52 week low of $21.01 and a 52 week high of $48.78. The firm has a market cap of $12.61 billion, a P/E ratio of -639.25, a P/E/G ratio of 1.03 and a beta of 1.67.

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.

Want to see what other hedge funds are holding DKNG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for DraftKings Inc. (NASDAQ:DKNG - Free Report).

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.