Benchmark Cuts DraftKings (NASDAQ:DKNG) Price Target to $29.00

DraftKings (NASDAQ:DKNG) had its price objective lowered by Benchmark from $37.00 to $29.00 in a report published on Friday morning,Benzinga reports. The brokerage currently has a buy rating on the stock.

DKNG has been the topic of several other reports. Rothschild & Co Redburn set a $35.00 target price on DraftKings in a research note on Friday, January 30th. Texas Capital upgraded shares of DraftKings to a “hold” rating in a research note on Thursday, January 8th. Northland Securities raised shares of DraftKings from an “under perform” rating to a “market perform” rating in a research report on Monday, November 10th. Bank of America dropped their price objective on shares of DraftKings from $37.50 to $30.00 and set a “neutral” rating on the stock in a report on Friday. Finally, BMO Capital Markets restated an “outperform” rating and issued a $42.00 target price on shares of DraftKings in a research note on Friday. Twenty-three research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $44.14.

DraftKings Price Performance

Shares of DKNG opened at $21.76 on Friday. The company has a 50 day moving average of $32.22 and a two-hundred day moving average of $36.13. The company has a quick ratio of 1.09, a current ratio of 1.10 and a debt-to-equity ratio of 2.51. DraftKings has a twelve month low of $21.01 and a twelve month high of $53.61. The company has a market cap of $10.83 billion, a price-to-earnings ratio of -544.00, a price-to-earnings-growth ratio of 0.43 and a beta of 1.67.

Insider Buying and Selling

In related news, insider R Stanton Dodge sold 52,777 shares of the firm’s stock in a transaction on Tuesday, January 20th. The shares were sold at an average price of $32.01, for a total transaction of $1,689,391.77. Following the sale, the insider owned 500,000 shares in the company, valued at approximately $16,005,000. This trade represents a 9.55% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 47.08% of the company’s stock.

Hedge Funds Weigh In On DraftKings

A number of hedge funds have recently bought and sold shares of DKNG. Dagco Inc. purchased a new stake in DraftKings in the 4th quarter worth $26,000. Ameriflex Group Inc. lifted its stake in DraftKings by 100.0% in the 3rd quarter. Ameriflex Group Inc. now owns 810 shares of the company’s stock valued at $30,000 after buying an additional 405 shares in the last quarter. Root Financial Partners LLC purchased a new position in DraftKings in the 3rd quarter valued at about $33,000. Asset Dedication LLC purchased a new stake in DraftKings during the 3rd quarter worth approximately $37,000. Finally, Montag A & Associates Inc. raised its holdings in shares of DraftKings by 82.5% during the fourth quarter. Montag A & Associates Inc. now owns 1,106 shares of the company’s stock valued at $38,000 after acquiring an additional 500 shares during the last quarter. Hedge funds and other institutional investors own 37.70% of the company’s stock.

More DraftKings News

Here are the key news stories impacting DraftKings this week:

• Positive Sentiment: Q4 revenue and margin progress — DraftKings reported +43% year‑over‑year revenue and said it achieved record revenue and adjusted EBITDA, signaling strong top‑line growth and improving operating results. DraftKings Reports Fourth Quarter Revenue Growth of 43%
• Positive Sentiment: Some analysts remain constructive — BTIG kept a “buy” rating despite cutting the price target to $37, still implying substantial upside from current levels, which can provide a floor for longer‑term buyers. Benzinga
• Neutral Sentiment: Mixed analyst updates — Benchmark and Bank of America trimmed targets (Benchmark to $29 with a buy, BofA to $30 with neutral). Ratings remain mixed between buy/neutral, leaving analyst coverage supportive but less bullish. TickerReport
• Neutral Sentiment: Earnings call and transcript available — Investors can review management’s Q4 commentary and guidance rationale in the transcript to assess credibility of the company’s longer‑term prediction‑market strategy. Earnings Call Transcript
• Negative Sentiment: EPS missed expectations — DraftKings reported $0.36 EPS vs consensus ~ $0.45, a clear earnings miss that pressured the stock despite revenue growth. MarketBeat Earnings Report
• Negative Sentiment: Cautious FY‑2026 guidance — Management’s revenue guidance came in below consensus (company guided roughly $6.5B–$6.9B vs ~ $7.3B Street estimate), signaling slower near‑term growth and prompting downward revisions. Press Release / Slides
• Negative Sentiment: Prediction‑market risk and regulatory scrutiny — The company’s large prediction‑markets ambitions are drawing regulatory attention (CFTC) and investor skepticism about timing and profitability of that business, adding uncertainty to growth assumptions. WSJ
• Negative Sentiment: High trading volume / selling pressure — The session showed well‑above‑average volume, indicating aggressive repositioning by investors after the miss and guidance, which amplified the downward move. ProactiveInvestors

DraftKings Company Profile

DraftKings Inc is a leading digital sports entertainment and gaming company specializing in daily fantasy sports, sports betting and iGaming products. The company provides an integrated platform where users can participate in daily fantasy contests, place wagers on professional sports events, and enjoy a range of online casino-style games. DraftKings’ proprietary technology supports real-time odds, live scoring and advanced analytics to enhance the user experience across mobile and desktop applications.

Founded in 2012 by co-founders Jason Robins, Matthew Kalish and Paul Liberman, DraftKings began as a daily fantasy sports provider and rapidly expanded into regulated sports betting following legislative changes in the United States.