GAMMA Investing LLC Cuts Stock Position in DraftKings Inc. $DKNG

GAMMA Investing LLC lowered its holdings in DraftKings Inc. (NASDAQ:DKNG) by 19.6% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,185 shares of the company’s stock after selling 289 shares during the period. GAMMA Investing LLC’s holdings in DraftKings were worth $51,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also bought and sold shares of the company. FNY Investment Advisers LLC purchased a new position in shares of DraftKings in the 1st quarter worth about $26,000. Smallwood Wealth Investment Management LLC purchased a new position in DraftKings in the first quarter valued at about $27,000. GPS Wealth Strategies Group LLC boosted its stake in DraftKings by 197.9% in the first quarter. GPS Wealth Strategies Group LLC now owns 849 shares of the company’s stock valued at $28,000 after acquiring an additional 564 shares during the last quarter. Bank of Jackson Hole Trust purchased a new position in DraftKings in the first quarter valued at about $31,000. Finally, Summit Securities Group LLC boosted its stake in DraftKings by 349.1% in the first quarter. Summit Securities Group LLC now owns 1,042 shares of the company’s stock valued at $35,000 after acquiring an additional 810 shares during the last quarter. Hedge funds and other institutional investors own 37.70% of the company’s stock.

DraftKings Trading Up 1.4%

DKNG stock opened at $35.37 on Friday. The company has a market capitalization of $17.56 billion, a PE ratio of -54.42, a price-to-earnings-growth ratio of 0.93 and a beta of 1.99. DraftKings Inc. has a one year low of $29.64 and a one year high of $53.61. The company’s 50 day moving average price is $44.25 and its two-hundred day moving average price is $39.80. The company has a debt-to-equity ratio of 1.82, a quick ratio of 1.34 and a current ratio of 1.34.

DraftKings (NASDAQ:DKNG) last issued its earnings results on Thursday, August 7th. The company reported $0.30 EPS for the quarter, topping analysts’ consensus estimates of $0.16 by $0.14. The company had revenue of $1.51 billion for the quarter, compared to analysts’ expectations of $1.39 billion. DraftKings had a negative net margin of 5.63% and a negative return on equity of 30.06%. The firm’s revenue was up 36.9% compared to the same quarter last year. During the same quarter last year, the company earned $0.12 EPS. DraftKings has set its FY 2025 guidance at EPS. As a group, analysts predict that DraftKings Inc. will post 0.64 earnings per share for the current fiscal year.

Insider Transactions at DraftKings

In other DraftKings news, Director Ryan R. Moore sold 76,390 shares of DraftKings stock in a transaction that occurred on Thursday, August 21st. The stock was sold at an average price of $45.92, for a total value of $3,507,828.80. Following the transaction, the director directly owned 402 shares of the company’s stock, valued at $18,459.84. The trade was a 99.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, insider R Stanton Dodge sold 105,554 shares of DraftKings stock in a transaction that occurred on Tuesday, August 5th. The stock was sold at an average price of $44.60, for a total value of $4,707,708.40. Following the completion of the transaction, the insider directly owned 500,000 shares in the company, valued at $22,300,000. This trade represents a 17.43% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 658,331 shares of company stock valued at $29,285,365. 51.19% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the company. Oppenheimer dropped their price objective on DraftKings from $60.00 to $55.00 and set an “outperform” rating on the stock in a research note on Wednesday. JPMorgan Chase & Co. assumed coverage on DraftKings in a research report on Monday, June 23rd. They set an “overweight” rating and a $50.00 price target on the stock. Susquehanna reaffirmed a “positive” rating and set a $64.00 price target on shares of DraftKings in a research report on Friday, August 8th. Truist Financial upped their price objective on shares of DraftKings from $50.00 to $55.00 and gave the company a “buy” rating in a report on Wednesday, July 16th. Finally, Citigroup reaffirmed a “neutral” rating on shares of DraftKings in a report on Wednesday. Twenty-six investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $53.89.

DraftKings Company Profile

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.