DraftKings Inc. $DKNG Shares Purchased by First Trust Advisors LP

Key Points

• First Trust Advisors LP increased its DraftKings stake by 27.9% in Q3, buying 419,271 shares to own 1,921,819 shares (about 0.39% of the company) valued at $71.876 million.
• Director Harry Sloan acquired 100,000 shares at $21.85 (≈$2.185M), a ~39.96% boost to his holdings; insiders still own 47.08% of the company even after insiders sold 62,928 shares (~$1.92M) in the past three months.
• Analysts have a consensus Moderate Buy rating on DKNG with an average price target of $37.19 (25 Buys, 4 Holds, 2 Sells), while some firms have adjusted targets (e.g., Oppenheimer cut its target from $50 to $35).

First Trust Advisors LP raised its holdings in DraftKings Inc. (NASDAQ:DKNG - Free Report) by 27.9% during the third quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 1,921,819 shares of the company's stock after purchasing an additional 419,271 shares during the period. First Trust Advisors LP owned about 0.39% of DraftKings worth $71,876,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently made changes to their positions in DKNG. IHT Wealth Management LLC increased its stake in shares of DraftKings by 4.1% in the second quarter. IHT Wealth Management LLC now owns 6,271 shares of the company's stock worth $269,000 after buying an additional 248 shares during the last quarter. Orion Porfolio Solutions LLC boosted its stake in DraftKings by 3.1% during the 3rd quarter. Orion Porfolio Solutions LLC now owns 10,608 shares of the company's stock valued at $397,000 after acquiring an additional 321 shares during the last quarter. Geneos Wealth Management Inc. grew its holdings in DraftKings by 7.3% during the 3rd quarter. Geneos Wealth Management Inc. now owns 4,793 shares of the company's stock worth $179,000 after acquiring an additional 328 shares in the last quarter. Valeo Financial Advisors LLC increased its position in shares of DraftKings by 3.6% in the 2nd quarter. Valeo Financial Advisors LLC now owns 10,009 shares of the company's stock worth $429,000 after purchasing an additional 348 shares during the last quarter. Finally, Huntleigh Advisors Inc. increased its position in shares of DraftKings by 0.8% in the 3rd quarter. Huntleigh Advisors Inc. now owns 43,630 shares of the company's stock worth $1,632,000 after purchasing an additional 363 shares during the last quarter. 37.70% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on DKNG. Benchmark reiterated a "buy" rating on shares of DraftKings in a report on Tuesday, March 3rd. Berenberg Bank set a $26.40 price objective on shares of DraftKings in a report on Tuesday, February 24th. Susquehanna set a $33.00 target price on shares of DraftKings in a research note on Tuesday, February 17th. Barclays restated an "overweight" rating on shares of DraftKings in a research report on Tuesday, March 3rd. Finally, Oppenheimer dropped their price objective on shares of DraftKings from $50.00 to $35.00 and set an "outperform" rating on the stock in a research note on Tuesday, February 17th. Twenty-five equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $37.19.

Insider Activity at DraftKings

In related news, Director Harry Sloan acquired 100,000 shares of the business's stock in a transaction that occurred on Tuesday, February 17th. The shares were acquired at an average cost of $21.85 per share, for a total transaction of $2,185,000.00. Following the completion of the purchase, the director directly owned 350,219 shares in the company, valued at $7,652,285.15. This trade represents a 39.96% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CAO Erik Bradbury sold 2,883 shares of the stock in a transaction dated Tuesday, March 3rd. The shares were sold at an average price of $24.56, for a total transaction of $70,806.48. Following the completion of the transaction, the chief accounting officer owned 38,168 shares of the company's stock, valued at $937,406.08. This represents a 7.02% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 62,928 shares of company stock worth $1,923,728 in the last three months. 47.08% of the stock is owned by company insiders.

DraftKings Price Performance

NASDAQ DKNG opened at $25.14 on Wednesday. The company has a 50-day moving average price of $28.44 and a two-hundred day moving average price of $33.61. The stock has a market cap of $12.39 billion, a price-to-earnings ratio of -628.50, a price-to-earnings-growth ratio of 1.03 and a beta of 1.67. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 2.91. DraftKings Inc. has a 52 week low of $21.01 and a 52 week high of $48.78.

DraftKings Company Profile

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.

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