JMP Securities Forecasts Strong Price Appreciation for DraftKings (NASDAQ:DKNG) Stock

DraftKings (NASDAQ:DKNG - Get Free Report) had its price objective lifted by equities researchers at JMP Securities from $51.00 to $52.00 in a note issued to investors on Monday,Benzinga reports. The firm presently has a "market outperform" rating on the stock. JMP Securities' price target would suggest a potential upside of 21.33% from the company's current price.

Several other brokerages have also recently issued reports on DKNG. Morgan Stanley lifted their target price on DraftKings from $47.00 to $48.00 and gave the stock an "overweight" rating in a report on Tuesday, October 22nd. Susquehanna lifted their price objective on DraftKings from $48.00 to $50.00 and gave the stock a "positive" rating in a research note on Monday, October 7th. BNP Paribas upgraded DraftKings from an "underperform" rating to a "neutral" rating and set a $35.00 target price for the company in a research report on Tuesday, September 10th. Wells Fargo & Company raised their target price on shares of DraftKings from $47.00 to $52.00 and gave the company an "overweight" rating in a report on Thursday, October 17th. Finally, UBS Group increased their price objective on shares of DraftKings from $56.00 to $58.00 and gave the company a "buy" rating in a research report on Wednesday, September 4th. Three analysts have rated the stock with a hold rating and twenty-four have issued a buy rating to the stock. According to data from MarketBeat, DraftKings presently has an average rating of "Moderate Buy" and an average target price of $50.48.

DraftKings Price Performance

DKNG traded up $2.73 on Monday, hitting $42.86. 12,975,290 shares of the company's stock traded hands, compared to its average volume of 10,367,728. The company's 50 day simple moving average is $37.66 and its 200-day simple moving average is $37.91. The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 0.97. DraftKings has a one year low of $28.69 and a one year high of $49.57. The firm has a market cap of $37.65 billion, a price-to-earnings ratio of -48.10 and a beta of 1.82.

DraftKings (NASDAQ:DKNG - Get Free Report) last released its quarterly earnings data on Thursday, November 7th. The company reported ($0.60) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.42) by ($0.18). DraftKings had a negative net margin of 9.06% and a negative return on equity of 42.13%. The company had revenue of $1.10 billion for the quarter, compared to the consensus estimate of $1.12 billion. As a group, research analysts anticipate that DraftKings will post -0.31 EPS for the current year.

Insider Activity at DraftKings

In other DraftKings news, insider Paul Liberman sold 88,441 shares of the business's stock in a transaction dated Monday, August 26th. The shares were sold at an average price of $35.64, for a total value of $3,152,037.24. Following the completion of the transaction, the insider now directly owns 2,498,483 shares in the company, valued at approximately $89,045,934.12. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In related news, insider Jason Robins sold 200,000 shares of the business's stock in a transaction on Wednesday, August 21st. The stock was sold at an average price of $35.25, for a total transaction of $7,050,000.00. Following the transaction, the insider now directly owns 2,678,082 shares in the company, valued at $94,402,390.50. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Paul Liberman sold 88,441 shares of the company's stock in a transaction on Monday, August 26th. The shares were sold at an average price of $35.64, for a total transaction of $3,152,037.24. Following the completion of the sale, the insider now directly owns 2,498,483 shares in the company, valued at $89,045,934.12. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 1,020,536 shares of company stock valued at $39,966,465 over the last quarter. 51.19% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On DraftKings

A number of institutional investors have recently modified their holdings of DKNG. Moors & Cabot Inc. boosted its stake in shares of DraftKings by 2.4% in the third quarter. Moors & Cabot Inc. now owns 28,180 shares of the company's stock worth $1,105,000 after buying an additional 650 shares during the last quarter. Advisors Asset Management Inc. lifted its holdings in DraftKings by 10.3% in the third quarter. Advisors Asset Management Inc. now owns 31,860 shares of the company's stock valued at $1,249,000 after acquiring an additional 2,978 shares during the period. Connor Clark & Lunn Investment Management Ltd. boosted its position in DraftKings by 238.6% in the 3rd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 496,971 shares of the company's stock worth $19,481,000 after purchasing an additional 350,215 shares in the last quarter. Commerce Bank grew its stake in shares of DraftKings by 56.0% during the 3rd quarter. Commerce Bank now owns 22,809 shares of the company's stock worth $894,000 after purchasing an additional 8,185 shares during the period. Finally, B. Metzler seel. Sohn & Co. Holding AG acquired a new stake in shares of DraftKings during the 3rd quarter worth approximately $349,000. Hedge funds and other institutional investors own 37.70% of the company's stock.

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.