Fred Alger Management LLC Sells 2,860,154 Shares of DraftKings Inc. (NASDAQ:DKNG)

Fred Alger Management LLC lessened its stake in shares of DraftKings Inc. (NASDAQ:DKNG - Free Report) by 61.6% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 1,783,698 shares of the company's stock after selling 2,860,154 shares during the quarter. Fred Alger Management LLC owned about 0.37% of DraftKings worth $66,354,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in DKNG. Stonebridge Financial Group LLC acquired a new position in shares of DraftKings during the 4th quarter valued at $28,000. Synergy Asset Management LLC bought a new position in shares of DraftKings during the 4th quarter valued at about $30,000. Synergy Investment Management LLC acquired a new position in shares of DraftKings in the 4th quarter worth approximately $37,000. Westpac Banking Corp bought a new stake in shares of DraftKings in the 4th quarter worth approximately $44,000. Finally, YANKCOM Partnership acquired a new stake in DraftKings during the fourth quarter valued at approximately $48,000. Institutional investors own 37.70% of the company's stock.

DraftKings Stock Performance

Shares of NASDAQ:DKNG traded up $0.91 during midday trading on Friday, hitting $36.26. The company's stock had a trading volume of 27,367,496 shares, compared to its average volume of 9,833,235. DraftKings Inc. has a fifty-two week low of $28.69 and a fifty-two week high of $53.61. The company has a debt-to-equity ratio of 1.24, a quick ratio of 1.00 and a current ratio of 0.93. The stock has a market capitalization of $32.02 billion, a price-to-earnings ratio of -34.21, a PEG ratio of 1.43 and a beta of 1.89. The stock's 50 day simple moving average is $35.48 and its 200 day simple moving average is $39.28.

DraftKings (NASDAQ:DKNG - Get Free Report) last issued its quarterly earnings results on Thursday, February 13th. The company reported ($0.28) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.35). DraftKings had a negative return on equity of 48.13% and a negative net margin of 10.64%. As a group, research analysts anticipate that DraftKings Inc. will post 0.64 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on DKNG. Guggenheim decreased their price target on shares of DraftKings from $62.00 to $61.00 and set a "buy" rating on the stock in a research report on Thursday, April 10th. BMO Capital Markets reaffirmed an "outperform" rating and set a $65.00 target price on shares of DraftKings in a research report on Thursday, April 24th. JMP Securities set a $57.00 price target on DraftKings in a research report on Wednesday, April 2nd. Bank of America reduced their price objective on shares of DraftKings from $60.00 to $50.00 and set a "buy" rating for the company in a research note on Friday. Finally, Truist Financial dropped their target price on shares of DraftKings from $60.00 to $50.00 and set a "buy" rating on the stock in a research report on Wednesday, April 23rd. Two analysts have rated the stock with a hold rating and twenty-six have assigned a buy rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $55.18.

Insider Activity at DraftKings

In related news, insider R Stanton Dodge sold 52,777 shares of DraftKings stock in a transaction dated Monday, April 21st. The stock was sold at an average price of $32.28, for a total transaction of $1,703,641.56. Following the sale, the insider now directly owns 601,520 shares of the company's stock, valued at $19,417,065.60. This trade represents a 8.07 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Matthew Kalish sold 587,585 shares of the firm's stock in a transaction that occurred on Friday, February 21st. The stock was sold at an average price of $47.05, for a total value of $27,645,874.25. Following the completion of the sale, the insider now owns 4,118,927 shares of the company's stock, valued at $193,795,515.35. This represents a 12.48 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 2,681,079 shares of company stock worth $112,941,617 in the last ninety days. 51.19% of the stock is currently owned by insiders.

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.