Falcon Edge Capital LP recently announced the acquisition of new stake in DraftKings Inc. (NASDAQ:DKNG). This fresh investment now brings its stake to 1.12% valued currently at $131.71 million. In addition, Fred Alger Management LLC raised its holdings by 2.31 million to 2.31 million shares.
With over 6.71 million DraftKings Inc. (DKNG) shares trading Thursday and a closing price of $33.65 on the day, the dollar volume was approximately $225.63 million. The shares have shown a negative weekly performance of -3.28% and its price on 08/05/20 gained nearly 3.38%. Currently, there are 353.84M common shares owned by the public and among those 239.00M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 12 analysts who have offered their price forecasts for DKNG have a consensus price objective of $45.22. The analysts have set the share’s price value over the next 12 months at a high of $60.00 and a low of $25.00 should the stock experience a downside. Incidentally, analysts’ outlook for the DraftKings Inc. stock is 1.90 for the next 12 months. The average price target is 27.94% above its last price level and an upside to the estimated low will see the stock lose -34.6% over that period. But an upside of 43.92% will see the stock hit the forecast high price target while mean target price for the stock is $48.00.
The top 3 mutual fund holders in DraftKings Inc. are American Funds Small Cap World Fu, Vanguard Total Stock Market Index, and Vanguard Mid Cap Index Fund. American Funds Small Cap World Fu owns 7.86 million shares of the company’s stock, all valued at over $261.54 million. The company bought an additional 7.86 million shares recently to bring their total holdings to about 2.23% of the shares outstanding. Vanguard Mid Cap Index Fund bought 6.52 million shares to bring its total holdings to over 6.52 million shares at a value of $216.92 million. Vanguard Mid Cap Index Fund now owns shares totaling to 1.85% of the shares outstanding.
Shares of DraftKings Inc. (NASDAQ: DKNG) opened at $32.37, down -$0.18 from a prior closing price of $32.55. However, the script later closed the day at $33.65, up 3.38%. The company’s stock has a 5-day price change of -3.28% and 43.13% over the past three months. It has a 12-month low price of $9.76 and touched a high of $44.79 over the same period. Currently, 6.71 million shares have been traded, compared to an average intraday trading volume of 13.77 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -1.80%, -7.10%, and 69.02% respectively.
Institutional ownership of DraftKings Inc. (NASDAQ: DKNG) shares accounts for 25.00% of the company’s 353.84M shares outstanding. Mutual fund holders own 17.70%, while other institutional holders and individual stakeholders account for 24.41% and -2.08% respectively.
It has a market capitalization of $12.30B. The stock’s trailing 12-month PE ratio is 611.82, while the earnings-per-share (ttm) stands at $0.06. Price movements for the stock have been influenced by the stock’s volatility, which stands at 6.32% over the week and 7.89% over the month.
Analysts forecast that DraftKings Inc. (DKNG) will achieve an EPS of -$0.19 for the current quarter, -$0.17 for the next quarter and -$0.54 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.36 while analysts give the company a high EPS estimate of -$0.1.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 12 brokerage firm advisors rate DraftKings Inc. (DKNG) as a “Strong Buy” at a consensus score of 1.90. Specifically, 10 Wall Street analysts polled rate the stock as a buy, while 2 of the 12 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the DKNG, a number of firms have released research notes about the stock. The Benchmark Company stated their Buy rating for the stock in a research note on July 31, 2020, with the firm’s price target at $47. Stephens coverage for the DraftKings Inc. (DKNG) stock in a research note released on July 01, 2020 offered a Overweight rating with a price target of $52. Rosenblatt was of a view on June 26, 2020 that the stock is Buy, while Jefferies gave the stock Buy rating on June 22, 2020, issuing a price target of $55. Oppenheimer on their part issued Outperform rating on June 11, 2020.