DraftKings (NASDAQ:DKNG) CFO Alan Wayne Ellingson Purchases 18,908 Shares of Company Stock

Key Points

• CFO Alan Ellingson bought 18,908 DraftKings shares at an average $18.51 each, spending about $350,000. His holdings rose 9.66% to 214,692 shares.
• DraftKings reported quarterly revenue of $1.33 billion, up 16.2% year over year but below analysts’ $1.39 billion estimate. Its loss of $0.53 per share was also wider than the $0.41 loss expected.
• Analysts’ consensus rating was “Moderate Buy,” with a reported average price target of $28.92.

DraftKings Inc. (NASDAQ:DKNG - Get Free Report) CFO Alan Ellingson purchased 18,908 shares of the stock in a transaction dated Monday, November 9th. The shares were purchased at an average price of $18.51 per share, for a total transaction of $349,987.08. Following the completion of the transaction, the chief financial officer owned 214,692 shares in the company, valued at $3,973,948.92. This trade represents a 9.66% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website.

DraftKings Price Performance

Shares of DKNG traded up $0.19 during midday trading on Monday, reaching $18.70. The stock had a trading volume of 24,411,214 shares, compared to its average volume of 13,832,584. The company has a debt-to-equity ratio of 3.22, a current ratio of 1.02 and a quick ratio of 1.02. The company has a market capitalization of $9.28 billion, a P/E ratio of -23.37, a P/E/G ratio of 2.43 and a beta of 1.65. The firm's 50 day moving average price is $21.51 and its 200-day moving average price is $24.06. DraftKings Inc. has a 52 week low of $16.55 and a 52 week high of $36.98.

DraftKings (NASDAQ:DKNG - Get Free Report) last announced its earnings results on Thursday, November 5th. The company reported ($0.53) earnings per share for the quarter, missing the consensus estimate of ($0.41) by ($0.12). The firm had revenue of $1.33 billion for the quarter, compared to the consensus estimate of $1.39 billion. DraftKings had a negative net margin of 5.91% and a negative return on equity of 36.21%. The company's quarterly revenue was up 16.2% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.26) EPS. On average, analysts forecast that DraftKings Inc. will post 0.31 earnings per share for the current fiscal year.

Institutional Investors Weigh In On DraftKings

Several hedge funds have recently made changes to their positions in DKNG. Janus Henderson Group PLC lifted its stake in shares of DraftKings by 9.3% in the 1st quarter. Janus Henderson Group PLC now owns 27,665,699 shares of the company's stock valued at $588,288,000 after purchasing an additional 2,351,790 shares during the last quarter. Spruce House Investment Management LLC increased its position in DraftKings by 129.6% during the first quarter. Spruce House Investment Management LLC now owns 9,650,000 shares of the company's stock worth $208,633,000 after buying an additional 5,446,166 shares during the last quarter. Swiss National Bank increased its position in DraftKings by 7.4% during the first quarter. Swiss National Bank now owns 1,314,864 shares of the company's stock worth $28,427,000 after buying an additional 90,400 shares during the last quarter. Bank of New York Mellon Corp acquired a new position in DraftKings during the second quarter worth $24,014,000. Finally, Quantinno Capital Management LP increased its position in DraftKings by 273.9% during the first quarter. Quantinno Capital Management LP now owns 898,241 shares of the company's stock worth $19,420,000 after buying an additional 658,006 shares during the last quarter. Hedge funds and other institutional investors own 37.70% of the company's stock.

DraftKings News Roundup

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: DraftKings’ Texas betting opportunity could offer a longer-term growth catalyst, although the timing and likelihood of expanded betting access remain uncertain. DraftKings Sees Texas Betting Hopes Rise As Prediction Markets Draw Scrutiny
• Neutral Sentiment: Several firms cut their price targets but kept positive ratings, including Canaccord at $30 and TD Cowen at $25. That signals potential upside in analysts’ estimates, while the broad reductions reflect lowered expectations. Canaccord Genuity Group recommendations TD Cowen recommendations
• Negative Sentiment: Q3 revenue grew 16% year over year but missed analyst expectations; the company also reported a larger-than-expected loss and cut its 2026 outlook. Heavy investment in prediction markets, with expected losses in that business, is adding to concerns about near-term profitability and guidance. DKNG Q3 Earnings Call Highlights Predictions Spending and 2027 Outlook
• Negative Sentiment: UBS, Stifel and JPMorgan downgraded DraftKings after the results and outlook update. JPMorgan moved to neutral and cut its target to $21; other analysts also lowered targets, reinforcing concerns about execution and the path to growth. DraftKings hit with downgrades as prediction market losses cloud outlook

Analyst Ratings Changes

DKNG has been the topic of several recent research reports. Wells Fargo & Company lifted their price target on shares of DraftKings from $29.00 to $30.00 and gave the stock an "overweight" rating in a research report on Monday, October 19th. Citigroup cut their price objective on DraftKings from $32.00 to $28.00 and set a "buy" rating for the company in a research report on Monday, October 12th. Canaccord Genuity Group cut their price objective on DraftKings from $40.00 to $30.00 and set a "buy" rating for the company in a research report on Monday. Benchmark raised their price objective on DraftKings from $29.00 to $30.00 and gave the stock a "buy" rating in a research note on Friday, August 7th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and set a $28.00 target price on shares of DraftKings in a report on Monday. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating, nine have given a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $28.92.

DraftKings Company Profile

DraftKings Inc is a digital sports and entertainment company founded in 2012. It began as a daily fantasy sports platform and has since expanded into online sports betting and gaming.

The company offers daily fantasy contests, a sportsbook and online casino products, including games such as slots and table games. Its services are available in a range of U.S. jurisdictions and in Ontario, Canada, where permitted by local regulations.

DraftKings is headquartered in Boston, Massachusetts.

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