ARK Investment Management LLC Cuts Stock Position in DraftKings Inc. (NASDAQ:DKNG)

ARK Investment Management LLC lessened its stake in DraftKings Inc. (NASDAQ:DKNG) by 8.1% during the 4th quarter, Holdings Channel.com reports. The firm owned 5,534,168 shares of the company’s stock after selling 490,565 shares during the quarter. DraftKings accounts for 1.7% of ARK Investment Management LLC’s investment portfolio, making the stock its 17th biggest holding. ARK Investment Management LLC’s holdings in DraftKings were worth $205,871,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Stonebridge Financial Group LLC purchased a new stake in shares of DraftKings during the fourth quarter worth about $28,000. Synergy Asset Management LLC purchased a new stake in shares of DraftKings during the fourth quarter worth about $30,000. Delos Wealth Advisors LLC purchased a new stake in shares of DraftKings during the third quarter worth about $43,000. Creative Financial Designs Inc. ADV grew its stake in shares of DraftKings by 36.8% during the third quarter. Creative Financial Designs Inc. ADV now owns 1,190 shares of the company’s stock worth $47,000 after acquiring an additional 320 shares during the last quarter. Finally, YANKCOM Partnership purchased a new stake in shares of DraftKings during the fourth quarter worth about $48,000. Hedge funds and other institutional investors own 37.70% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on DKNG. Macquarie boosted their price target on DraftKings from $50.00 to $51.00 and gave the stock an “outperform” rating in a research note on Monday, November 11th. JMP Securities reiterated a “market outperform” rating and issued a $50.00 target price on shares of DraftKings in a research report on Friday, February 14th. Canaccord Genuity Group upped their target price on DraftKings from $54.00 to $60.00 and gave the company a “buy” rating in a research report on Friday, February 14th. Barclays upped their target price on DraftKings from $50.00 to $60.00 and gave the company an “overweight” rating in a research report on Tuesday, February 18th. Finally, Stifel Nicolaus upped their target price on DraftKings from $48.00 to $57.00 and gave the company a “buy” rating in a research report on Tuesday, February 18th. Three research analysts have rated the stock with a hold rating and twenty-five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $54.44.

Insider Activity

In other news, insider Matthew Kalish sold 587,585 shares of the firm’s stock in a transaction that occurred on Friday, February 21st. The stock was sold at an average price of $47.05, for a total value of $27,645,874.25. Following the transaction, the insider now owns 4,118,927 shares in the company, valued at $193,795,515.35. This trade represents a 12.48 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Paul Liberman sold 200,000 shares of the firm’s stock in a transaction that occurred on Friday, January 10th. The shares were sold at an average price of $39.00, for a total value of $7,800,000.00. Following the completion of the transaction, the insider now owns 1,342,722 shares in the company, valued at approximately $52,366,158. This trade represents a 12.96 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 2,414,827 shares of company stock worth $102,870,367 over the last quarter. 48.94% of the stock is currently owned by corporate insiders.

DraftKings Stock Performance

DKNG opened at $42.51 on Wednesday. The firm’s fifty day simple moving average is $41.55 and its two-hundred day simple moving average is $39.58. DraftKings Inc. has a 52-week low of $28.69 and a 52-week high of $53.61. The company has a market cap of $20.83 billion, a price-to-earnings ratio of -40.10, a PEG ratio of 1.43 and a beta of 1.93. The company has a quick ratio of 1.00, a current ratio of 0.93 and a debt-to-equity ratio of 1.24.

DraftKings (NASDAQ:DKNG) last issued its quarterly earnings results on Thursday, February 13th. The company reported ($0.28) earnings per share for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.35). DraftKings had a negative net margin of 10.64% and a negative return on equity of 48.13%. Equities analysts anticipate that DraftKings Inc. will post 0.64 earnings per share for the current fiscal year.

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.