Pallas Capital Advisors LLC Increases Holdings in DraftKings Inc. $DKNG

Key Points

• Pallas Capital Advisors LLC has increased its position in DraftKings Inc. by 38.0%, acquiring an additional 24,193 shares during the second quarter, bringing their total holdings to 87,918 shares valued at approximately $3.77 million.
• DraftKings reported a 36.9% increase in revenue year-over-year, reaching $1.51 billion for the quarter, along with an earnings per share of $0.30, exceeding analysts' expectations.
• Insider transactions revealed that DraftKings' Matthew Kalish sold 210,000 shares for about $9 million, indicating significant insider movement alongside a reported decline in ownership percentage.

Pallas Capital Advisors LLC boosted its holdings in shares of DraftKings Inc. (NASDAQ:DKNG - Free Report) by 38.0% during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 87,918 shares of the company's stock after acquiring an additional 24,193 shares during the quarter. Pallas Capital Advisors LLC's holdings in DraftKings were worth $3,771,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. AQR Capital Management LLC raised its position in shares of DraftKings by 2,138.9% in the first quarter. AQR Capital Management LLC now owns 4,696,244 shares of the company's stock valued at $155,962,000 after purchasing an additional 4,486,488 shares during the period. Eminence Capital LP grew its holdings in shares of DraftKings by 195.2% in the 1st quarter. Eminence Capital LP now owns 5,178,083 shares of the company's stock worth $171,964,000 after purchasing an additional 3,423,909 shares during the last quarter. Nuveen LLC bought a new stake in shares of DraftKings in the 1st quarter worth about $107,739,000. AGF Management Ltd. bought a new stake in DraftKings during the 1st quarter worth about $83,622,000. Finally, Baillie Gifford & Co. lifted its position in DraftKings by 26.5% during the 1st quarter. Baillie Gifford & Co. now owns 8,390,236 shares of the company's stock valued at $278,640,000 after purchasing an additional 1,756,778 shares during the period. Institutional investors own 37.70% of the company's stock.

Insider Transactions at DraftKings

In other news, Director Jocelyn Moore sold 4,861 shares of the stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $43.21, for a total transaction of $210,043.81. Following the completion of the transaction, the director owned 1,461 shares in the company, valued at approximately $63,129.81. This represents a 76.89% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider R Stanton Dodge sold 105,554 shares of the stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $44.60, for a total value of $4,707,708.40. Following the transaction, the insider owned 500,000 shares of the company's stock, valued at $22,300,000. The trade was a 17.43% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 658,331 shares of company stock worth $29,285,365. Company insiders own 51.19% of the company's stock.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on the company. Truist Financial increased their target price on DraftKings from $50.00 to $55.00 and gave the stock a "buy" rating in a research note on Wednesday, July 16th. JPMorgan Chase & Co. assumed coverage on DraftKings in a research note on Monday, June 23rd. They set an "overweight" rating and a $50.00 target price for the company. Wall Street Zen raised DraftKings from a "hold" rating to a "buy" rating in a research note on Saturday. Jefferies Financial Group set a $54.00 target price on DraftKings in a research note on Thursday, August 21st. Finally, JMP Securities decreased their price target on shares of DraftKings from $54.00 to $50.00 and set a "market outperform" rating for the company in a research note on Thursday, June 5th. Twenty-four research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $55.12.

DraftKings Stock Up 0.3%

Shares of NASDAQ:DKNG traded up $0.15 during trading on Friday, reaching $43.45. 9,090,861 shares of the stock were exchanged, compared to its average volume of 7,302,942. The firm has a market cap of $21.57 billion, a price-to-earnings ratio of -66.85, a price-to-earnings-growth ratio of 1.03 and a beta of 1.73. The stock has a fifty day moving average of $45.07 and a two-hundred day moving average of $39.68. DraftKings Inc. has a 1-year low of $29.64 and a 1-year high of $53.61. The company has a debt-to-equity ratio of 1.82, a current ratio of 1.34 and a quick ratio of 1.34.

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

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.