Oppenheimer Weighs in on DraftKings Inc.’s Q2 2022 Earnings (NASDAQ:DKNG)

DraftKings Inc. (NASDAQ:DKNG – Get Rating) – Equities researchers at Oppenheimer decreased their Q2 2022 earnings per share (EPS) estimates for DraftKings in a report released on Monday, May 9th. Oppenheimer analyst J. Kelly now anticipates that the company will earn ($0.90) per share for the quarter, down from their previous estimate of ($0.70). Oppenheimer also issued estimates for DraftKings’ Q3 2022 earnings at ($1.10) EPS, Q4 2022 earnings at ($0.56) EPS, FY2022 earnings at ($3.61) EPS, FY2023 earnings at ($2.22) EPS and FY2024 earnings at ($1.67) EPS.

Several other equities analysts also recently commented on DKNG. Argus downgraded DraftKings from a “buy” rating to a “hold” rating in a research note on Monday, March 7th. Loop Capital reduced their price objective on DraftKings from $35.00 to $25.00 in a research note on Monday. Craig Hallum cut their target price on DraftKings from $40.00 to $30.00 in a research note on Monday. Wells Fargo & Company lowered shares of DraftKings from an “overweight” rating to an “equal weight” rating and lowered their target price for the company from $41.00 to $19.00 in a report on Tuesday, February 22nd. Finally, Morgan Stanley raised shares of DraftKings to a “buy” rating and set a $31.00 target price for the company in a research report on Monday, February 21st. Twelve investment analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $37.90.

Shares of NASDAQ DKNG opened at $11.36 on Wednesday. DraftKings has a 1-year low of $10.38 and a 1-year high of $64.58. The firm has a market capitalization of $9.11 billion, a P/E ratio of -3.01 and a beta of 2.07. The firm’s 50-day moving average price is $16.91 and its 200-day moving average price is $25.20. The company has a current ratio of 2.96, a quick ratio of 2.96 and a debt-to-equity ratio of 0.74.

DraftKings (NASDAQ:DKNG – Get Rating) last posted its earnings results on Friday, February 18th. The company reported ($0.80) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.82) by $0.02. The company had revenue of $473.33 million during the quarter, compared to the consensus estimate of $438.46 million. DraftKings had a negative return on equity of 75.86% and a negative net margin of 117.53%. During the same quarter last year, the firm earned ($0.69) earnings per share.

A number of institutional investors have recently made changes to their positions in the business. Wellington Management Group LLP raised its position in DraftKings by 3.7% during the 3rd quarter. Wellington Management Group LLP now owns 15,266,238 shares of the company’s stock worth $735,222,000 after buying an additional 544,809 shares during the last quarter. BlackRock Inc. raised its position in DraftKings by 4.1% during the 4th quarter. BlackRock Inc. now owns 14,769,815 shares of the company’s stock worth $405,725,000 after buying an additional 581,527 shares during the last quarter. Sumitomo Mitsui Trust Holdings Inc. raised its position in DraftKings by 10.4% during the 1st quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 14,142,028 shares of the company’s stock worth $275,345,000 after buying an additional 1,331,163 shares during the last quarter. Nikko Asset Management Americas Inc. raised its position in DraftKings by 8.4% during the 1st quarter. Nikko Asset Management Americas Inc. now owns 13,326,147 shares of the company’s stock worth $261,726,000 after buying an additional 1,035,220 shares during the last quarter. Finally, Redpoint Management LLC purchased a new position in shares of DraftKings in the 4th quarter valued at about $189,342,000. Institutional investors own 33.91% of the company’s stock.

In related news, insider R Stanton Dodge sold 191,501 shares of the company’s stock in a transaction on Thursday, February 24th. The shares were sold at an average price of $19.77, for a total value of $3,785,974.77. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Harry Sloan purchased 50,000 shares of DraftKings stock in a transaction that occurred on Monday, March 14th. The stock was acquired at an average price of $15.39 per share, with a total value of $769,500.00. The disclosure for this purchase can be found here. In the last quarter, insiders purchased 190,000 shares of company stock valued at $3,608,000 and sold 1,316,922 shares valued at $25,319,815. 55.92% of the stock is owned by corporate insiders.

About DraftKings (Get Rating)

DraftKings Inc operates as a digital sports entertainment and gaming company in the United States and internationally. It operates through two segments, Business-to-Consumer and Business-to-Business. The company provides users with daily fantasy sports, sports betting, and iGaming opportunities, as well as media and other online consumer products.

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