Mizuho Issues Pessimistic Forecast for DraftKings (NASDAQ:DKNG) Stock Price

DraftKings (NASDAQ:DKNG) had its target price reduced by Mizuho from $59.00 to $58.00 in a research report released on Monday morning,Benzinga reports. They currently have an outperform rating on the stock.

A number of other brokerages also recently commented on DKNG. Canaccord Genuity Group increased their price target on DraftKings from $54.00 to $60.00 and gave the company a “buy” rating in a research report on Friday, February 14th. Bank of America decreased their target price on DraftKings from $60.00 to $50.00 and set a “buy” rating for the company in a research report on Friday, May 9th. Citigroup lowered their target price on DraftKings from $65.00 to $55.00 and set a “buy” rating on the stock in a research note on Friday, April 25th. Wells Fargo & Company increased their price target on shares of DraftKings from $53.00 to $60.00 and gave the company an “overweight” rating in a research report on Tuesday, February 18th. Finally, JPMorgan Chase & Co. raised their price objective on shares of DraftKings from $53.00 to $61.00 and gave the stock an “overweight” rating in a report on Tuesday, February 18th. Two equities research analysts have rated the stock with a hold rating and twenty-six have given a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $55.04.

DraftKings Stock Performance

Shares of DKNG stock opened at $38.25 on Monday. The company has a debt-to-equity ratio of 1.24, a current ratio of 0.93 and a quick ratio of 1.00. The firm has a 50-day moving average of $35.30 and a 200-day moving average of $39.29. DraftKings has a one year low of $28.69 and a one year high of $53.61. The company has a market cap of $33.77 billion, a P/E ratio of -36.08, a P/E/G ratio of 1.43 and a beta of 1.89.

DraftKings (NASDAQ:DKNG) last posted its quarterly earnings data 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 net margin of 10.64% and a negative return on equity of 48.13%. Equities research analysts forecast that DraftKings will post 0.64 EPS for the current fiscal year.

Insider Activity

In other news, Director Jocelyn Moore sold 3,420 shares of the stock in a transaction dated Thursday, March 6th. The shares were sold at an average price of $42.00, for a total value of $143,640.00. Following the sale, the director now directly owns 1,612 shares of the company’s stock, valued at approximately $67,704. This represents a 67.97% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Matthew Kalish sold 587,585 shares of the business’s stock in a transaction that occurred on Friday, February 21st. The shares were sold at an average price of $47.05, for a total transaction of $27,645,874.25. Following the transaction, the insider now directly owns 4,118,927 shares of the company’s stock, valued at approximately $193,795,515.35. This represents a 12.48% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 2,691,079 shares of company stock worth $111,885,917. 47.08% of the stock is owned by corporate insiders.

Institutional Trading of DraftKings

Several institutional investors and hedge funds have recently bought and sold shares of the company. Silvant Capital Management LLC grew its position in shares of DraftKings by 0.9% during the 1st quarter. Silvant Capital Management LLC now owns 122,417 shares of the company’s stock valued at $4,065,000 after purchasing an additional 1,057 shares in the last quarter. Ieq Capital LLC boosted its stake in DraftKings by 669.9% during the first quarter. Ieq Capital LLC now owns 1,383,240 shares of the company’s stock valued at $45,937,000 after buying an additional 1,203,573 shares during the period. Comerica Bank grew its position in DraftKings by 35.4% during the first quarter. Comerica Bank now owns 250,596 shares of the company’s stock worth $8,322,000 after buying an additional 65,452 shares in the last quarter. Synovus Financial Corp purchased a new position in DraftKings during the first quarter worth about $258,000. Finally, Penn Capital Management Company LLC increased its stake in DraftKings by 217.1% in the 1st quarter. Penn Capital Management Company LLC now owns 66,976 shares of the company’s stock worth $2,258,000 after acquiring an additional 45,854 shares during the last quarter. 37.70% of the stock is currently owned by hedge funds and other institutional investors.

About DraftKings

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.