Royal Bank of Canada Raises Stake in DraftKings Inc. $DKNG

Royal Bank of Canada lifted its position in DraftKings Inc. (NASDAQ:DKNG - Free Report) by 13.8% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 846,552 shares of the company's stock after purchasing an additional 102,430 shares during the quarter. Royal Bank of Canada owned about 0.10% of DraftKings worth $28,115,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of DKNG. Raiffeisen Bank International AG purchased a new stake in shares of DraftKings in the fourth quarter valued at about $25,000. FNY Investment Advisers LLC purchased a new position in DraftKings during the first quarter worth about $26,000. Smallwood Wealth Investment Management LLC purchased a new position in DraftKings during the first quarter worth about $27,000. Point72 Asia Singapore Pte. Ltd. purchased a new position in DraftKings during the fourth quarter worth about $28,000. Finally, GPS Wealth Strategies Group LLC boosted its stake in DraftKings by 197.9% during the first quarter. GPS Wealth Strategies Group LLC now owns 849 shares of the company's stock worth $28,000 after buying an additional 564 shares during the period. Hedge funds and other institutional investors own 37.70% of the company's stock.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on DKNG shares. Sanford C. Bernstein started coverage on shares of DraftKings in a research note on Wednesday, June 4th. They set an "outperform" rating and a $46.00 target price for the company. Jefferies Financial Group set a $54.00 target price on shares of DraftKings in a research note on Thursday, August 21st. JMP Securities lowered their target price 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. Citigroup reissued a "buy" rating on shares of DraftKings in a research report on Friday, July 11th. Finally, Benchmark increased their price target on shares of DraftKings from $50.00 to $53.00 and gave the stock a "buy" rating in a research report on Thursday, August 7th. Twenty-four research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $55.12.

Insider Buying and Selling at DraftKings

In related news, insider R Stanton Dodge sold 158,331 shares of DraftKings stock in a transaction on Wednesday, June 18th. The shares were sold at an average price of $39.00, for a total value of $6,174,909.00. Following the transaction, the insider directly owned 504,381 shares in the company, valued at $19,670,859. This trade represents a 23.89% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Alan Wayne Ellingson sold 44,693 shares of DraftKings stock in a transaction on Tuesday, August 19th. The shares were sold at an average price of $44.90, for a total transaction of $2,006,715.70. Following the completion of the transaction, the chief financial officer owned 128,131 shares in the company, valued at approximately $5,753,081.90. This trade represents a 25.86% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 816,662 shares of company stock valued at $35,460,274. 51.19% of the stock is owned by company insiders.

DraftKings Stock Down 4.0%

NASDAQ:DKNG traded down $1.86 during mid-day trading on Friday, hitting $44.01. The stock had a trading volume of 6,043,141 shares, compared to its average volume of 10,036,735. 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 Inc. has a twelve month low of $29.64 and a twelve month high of $53.61. The stock has a 50-day simple moving average of $44.97 and a two-hundred day simple moving average of $39.68. The company has a market capitalization of $21.85 billion, a PE ratio of -67.72, a PEG ratio of 1.08 and a beta of 1.73.

DraftKings (NASDAQ:DKNG - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported $0.30 earnings per share for the quarter, topping analysts' consensus estimates of $0.16 by $0.14. The company 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 firm's revenue for the quarter was up 36.9% on a year-over-year basis. During the same quarter last year, the company earned $0.12 earnings per share. 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 year.

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.