Price T Rowe Associates Inc. MD Lowers Stock Position in DraftKings Inc. $DKNG

Key Points

• Price T Rowe Associates Inc. MD has reduced its stake in DraftKings Inc. by 4.3%, selling 61,059 shares and now holding 1,348,175 shares worth approximately $44.77 million.
• DraftKings reported a positive earnings surprise in their latest earnings report, with $0.30 earnings per share against an expected $0.16, and quarterly revenue of $1.51 billion.
• Analysts have mixed views on DraftKings, with a consensus rating of "Moderate Buy" and an average price target of $54.50.

Price T Rowe Associates Inc. MD lowered its stake in DraftKings Inc. (NASDAQ:DKNG - Free Report) by 4.3% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,348,175 shares of the company's stock after selling 61,059 shares during the period. Price T Rowe Associates Inc. MD owned 0.15% of DraftKings worth $44,774,000 at the end of the most recent quarter.

Other hedge funds have also recently added to or reduced their stakes in the company. Beacon Pointe Advisors LLC increased its holdings in DraftKings by 1.9% in the 4th quarter. Beacon Pointe Advisors LLC now owns 10,699 shares of the company's stock worth $398,000 after purchasing an additional 203 shares in the last quarter. Nissay Asset Management Corp Japan ADV increased its holdings in DraftKings by 0.3% in the 4th quarter. Nissay Asset Management Corp Japan ADV now owns 77,696 shares of the company's stock worth $2,946,000 after purchasing an additional 217 shares in the last quarter. Brooklyn Investment Group increased its holdings in DraftKings by 7.3% in the 1st quarter. Brooklyn Investment Group now owns 3,987 shares of the company's stock worth $132,000 after purchasing an additional 270 shares in the last quarter. Snowden Capital Advisors LLC increased its holdings in DraftKings by 3.5% in the 4th quarter. Snowden Capital Advisors LLC now owns 8,724 shares of the company's stock worth $325,000 after purchasing an additional 296 shares in the last quarter. Finally, Obermeyer Wealth Partners increased its holdings in DraftKings by 3.4% in the 1st quarter. Obermeyer Wealth Partners now owns 8,930 shares of the company's stock worth $297,000 after purchasing an additional 297 shares in the last quarter. Institutional investors and hedge funds own 37.70% of the company's stock.

DraftKings Trading Down 0.5%

NASDAQ DKNG traded down $0.25 during trading hours on Monday, hitting $47.98. 4,825,595 shares of the company's stock were exchanged, compared to its average volume of 9,235,594. The stock has a 50-day simple moving average of $44.12 and a 200 day simple moving average of $39.73. DraftKings Inc. has a 1-year low of $29.64 and a 1-year high of $53.61. The firm has a market cap of $42.68 billion, a price-to-earnings ratio of -73.82, a PEG ratio of 1.14 and a beta of 1.73. 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 released its earnings results on Thursday, August 7th. The company reported $0.30 EPS for the quarter, topping the consensus estimate of $0.16 by $0.14. DraftKings had a negative return on equity of 30.06% and a negative net margin of 5.63%.The business had revenue of $1.51 billion during the quarter, compared to analysts' expectations of $1.39 billion. During the same quarter last year, the firm posted $0.12 earnings per share. The firm's revenue was up 36.9% on a year-over-year basis. DraftKings has set its FY 2025 guidance at EPS. On average, equities analysts forecast that DraftKings Inc. will post 0.64 EPS for the current fiscal year.

Insider Transactions at DraftKings

In other DraftKings news, CFO Alan Wayne Ellingson sold 44,693 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $44.90, for a total value of $2,006,715.70. Following the completion of the sale, the chief financial officer owned 128,131 shares of the company's stock, valued at approximately $5,753,081.90. This trade represents a 25.86% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Ryan R. Moore sold 76,390 shares of the firm's stock in a transaction that occurred on Thursday, August 21st. The shares were sold at an average price of $45.92, for a total value of $3,507,828.80. Following the completion of the sale, the director directly owned 402 shares of the company's stock, valued at $18,459.84. This trade represents a 99.48% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 711,108 shares of company stock valued at $30,460,181. Company insiders own 51.19% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on the company. Stifel Nicolaus lowered their target price on DraftKings from $53.00 to $51.00 and set a "buy" rating for the company in a report on Wednesday, July 16th. Deutsche Bank Aktiengesellschaft set a $47.00 price target on DraftKings and gave the company a "hold" rating in a research note on Friday, August 8th. Wall Street Zen cut DraftKings from a "buy" rating to a "hold" rating in a research note on Saturday. Jefferies Financial Group set a $54.00 price target on DraftKings in a research note on Thursday, August 21st. Finally, Morgan Stanley reissued an "overweight" rating and issued a $52.00 price target (up previously from $51.00) on shares of DraftKings in a research note on Friday, July 11th. Twenty-five analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $54.50.

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.