Rockefeller Capital Management L.P. Increases Position in DraftKings Inc. $DKNG

Key Points

• Rockefeller Capital Management increased its DraftKings stake by 458.2% in the fourth quarter, buying 85,665 additional shares and bringing its total holding to 104,360 shares worth about $3.6 million.
• DraftKings has been gaining attention for its prediction markets push, including the launch of its proprietary exchange DKeX inside the DraftKings app to improve control over product design and economics.
• Despite positive product momentum and constructive analyst sentiment, DraftKings remains volatile, with investors still weighing growth prospects against profitability concerns, litigation risk, and broader market weakness.

Rockefeller Capital Management L.P. raised its holdings in DraftKings Inc. (NASDAQ:DKNG - Free Report) by 458.2% during the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 104,360 shares of the company's stock after acquiring an additional 85,665 shares during the quarter. Rockefeller Capital Management L.P.'s holdings in DraftKings were worth $3,596,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors also recently added to or reduced their stakes in DKNG. Dagco Inc. bought a new stake in shares of DraftKings during the fourth quarter valued at approximately $26,000. Ameriflex Group Inc. boosted its stake in shares of DraftKings by 100.0% during the third quarter. Ameriflex Group Inc. now owns 810 shares of the company's stock valued at $30,000 after purchasing an additional 405 shares in the last quarter. Asset Dedication LLC bought a new position in DraftKings in the third quarter worth approximately $37,000. Montag A & Associates Inc. raised its position in shares of DraftKings by 82.5% in the 4th quarter. Montag A & Associates Inc. now owns 1,106 shares of the company's stock worth $38,000 after acquiring an additional 500 shares in the last quarter. Finally, Aventura Private Wealth LLC bought a new position in DraftKings in the fourth quarter worth about $39,000. Hedge funds and other institutional investors own 37.70% of the company's stock.

Key DraftKings News

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: DraftKings launched DKeX, its proprietary prediction markets exchange, and integrated it into the DraftKings: Sports & Casino app, giving the company more control over product design, economics, and the customer experience. DraftKings Launches Proprietary Exchange to Bolster Differentiated Predictions Experience
• Positive Sentiment: Investors are encouraged by evidence that DraftKings’ Predictions business is gaining traction, with recent filings showing rising trading volume and management signaling that prediction markets could become a meaningful part of its long-term “super app” strategy. DraftKings Gains as Investors Cheer Prediction-Market Push
• Positive Sentiment: Analyst commentary and recent price-target updates remain constructive, reinforcing the view that the prediction-markets rollout could support revenue growth and sentiment around the stock. DraftKings Shares Climb After Company Unveils DKeX, Its Own Prediction Markets Exchange
• Neutral Sentiment: Some reports note that DraftKings remains volatile as investors balance the upside from prediction markets against profitability, litigation, and macroeconomic risks. DraftKings shares volatile as investors weigh prediction market growth against profitability risks
• Negative Sentiment: Recent articles also highlighted pressure from broader market weakness and concerns about competition, reminding investors that the stock can still swing sharply even after the product launch. Why Is DraftKings Stock Falling On Thursday?

DraftKings Stock Performance

NASDAQ:DKNG opened at $25.70 on Friday. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.03. The company's 50-day moving average price is $25.09 and its 200-day moving average price is $27.08. DraftKings Inc. has a twelve month low of $20.46 and a twelve month high of $48.78. The company has a market cap of $12.75 billion, a P/E ratio of 428.33 and a beta of 1.66.

DraftKings (NASDAQ:DKNG - Get Free Report) last posted its quarterly earnings results on Friday, May 8th. The company reported $0.20 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.22 by ($0.02). The company had revenue of $1.65 billion during the quarter, compared to analysts' expectations of $1.63 billion. DraftKings had a net margin of 0.93% and a return on equity of 13.51%. DraftKings's revenue for the quarter was up 16.8% on a year-over-year basis. During the same quarter last year, the company earned ($0.07) earnings per share. On average, sell-side analysts forecast that DraftKings Inc. will post 0.6 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Several equities research analysts have weighed in on DKNG shares. BMO Capital Markets raised their price target on DraftKings from $42.00 to $50.00 and gave the stock an "outperform" rating in a report on Tuesday, March 3rd. TD Cowen reissued a "buy" rating and set a $30.00 target price on shares of DraftKings in a report on Monday, June 8th. JPMorgan Chase & Co. dropped their target price on DraftKings from $32.00 to $31.00 and set an "overweight" rating on the stock in a report on Thursday, April 16th. Benchmark restated a "buy" rating on shares of DraftKings in a research report on Monday, June 22nd. Finally, UBS Group increased their price target on DraftKings from $43.00 to $49.00 and gave the stock a "buy" rating in a research report on Friday, June 5th. One analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $34.27.

Insider Transactions at DraftKings

In other DraftKings news, Director Woodrow Levin sold 34,234 shares of DraftKings stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $25.71, for a total transaction of $880,156.14. Following the transaction, the director directly owned 29,820 shares of the company's stock, valued at $766,672.20. The trade was a 53.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider R Stanton Dodge sold 62,500 shares of the stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $29.68, for a total transaction of $1,855,000.00. Following the completion of the sale, the insider directly owned 556,258 shares of the company's stock, valued at approximately $16,509,737.44. This trade represents a 10.10% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 97,596 shares of company stock worth $2,756,991 over the last ninety days. 47.18% of the stock is owned by insiders.

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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