IFM Investors Pty Ltd Increases Stake in DraftKings Inc. $DKNG

Key Points

• IFM Investors Pty Ltd increased its stake in DraftKings Inc. by 9.8% during the second quarter, owning 84,098 shares valued at approximately $3.6 million.
• Insider transactions revealed a significant sell-off, with R Stanton Dodge and Matthew Kalish collectively selling 315,554 shares for around $14 million, reflecting a 17.09% and 4.77% decrease in their holdings, respectively.
• DraftKings' stock was trading at $43.45, with a market capitalization of $21.57 billion, and the company reported a 36.9% increase in revenue year-over-year in its latest quarterly results.

IFM Investors Pty Ltd lifted its stake in shares of DraftKings Inc. (NASDAQ:DKNG - Free Report) by 9.8% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 84,098 shares of the company's stock after purchasing an additional 7,495 shares during the period. IFM Investors Pty Ltd's holdings in DraftKings were worth $3,607,000 as of its most recent SEC filing.

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

Insider Activity

In other news, CFO Alan Wayne Ellingson sold 44,693 shares of the company's stock in a transaction on 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 approximately $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 the SEC website. Also, insider Matthew Kalish sold 210,000 shares of DraftKings 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 approximately $179,760,995.70. This represents a 4.77% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 658,331 shares of company stock valued at $29,285,365. 47.08% of the stock is currently owned by insiders.

DraftKings Trading Up 0.9%

DKNG stock traded up $0.39 during midday trading on Monday, reaching $43.84. 9,803,435 shares of the company were exchanged, compared to its average volume of 7,421,264. The business has a 50-day moving average price of $45.07 and a two-hundred day moving average price of $39.68. DraftKings Inc. has a one year low of $29.64 and a one year high of $53.61. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 1.82.

DraftKings (NASDAQ:DKNG - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The company reported $0.30 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.16 by $0.14. The firm had revenue of $1.51 billion during the quarter, compared to the consensus estimate 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 for the quarter was up 36.9% compared to the same quarter last year. During the same period last year, the business posted $0.12 earnings per share. 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 year.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on DKNG shares. Truist Financial lifted their price objective on DraftKings from $50.00 to $55.00 and gave the company a "buy" rating in a report on Wednesday, July 16th. Benchmark increased their target price on DraftKings from $50.00 to $53.00 and gave the stock a "buy" rating in a report on Thursday, August 7th. Citigroup reissued a "buy" rating on shares of DraftKings in a research note on Friday, July 11th. Sanford C. Bernstein initiated coverage on shares of DraftKings in a research report on Wednesday, June 4th. They set an "outperform" rating and a $46.00 price objective for the company. Finally, Wall Street Zen upgraded DraftKings from a "hold" rating to a "buy" rating in a research report on Saturday. Twenty-four equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $55.12.

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.