17 analysts have shared their evaluations of DraftKings DKNG during the recent three months, expressing a mix of bullish and bearish perspectives.
The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 6 | 9 | 1 | 1 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 3 | 8 | 1 | 0 | 0 |
| 2M Ago | 1 | 1 | 0 | 1 | 0 |
| 3M Ago | 1 | 0 | 0 | 0 | 0 |
Insights from analysts' 12-month price targets are revealed, presenting an average target of $49.47, a high estimate of $60.00, and a low estimate of $28.00. This current average has increased by 13.62% from the previous average price target of $43.54.
Exploring Analyst Ratings: An In-Depth Overview
A clear picture of DraftKings's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Robin Farley | UBS | Raises | Buy | $56.00 | $44.00 |
| Stephen Grambling | Morgan Stanley | Raises | Overweight | $49.00 | $40.00 |
| Brandt Montour | Barclays | Raises | Overweight | $50.00 | $41.00 |
| Daniel Politzer | Wells Fargo | Raises | Overweight | $53.00 | $39.00 |
| Barry Jonas | Truist Securities | Raises | Buy | $55.00 | $45.00 |
| Jed Kelly | Oppenheimer | Raises | Outperform | $60.00 | $55.00 |
| Brandt Montour | Barclays | Raises | Equal-Weight | $41.00 | $36.00 |
| Bernie McTernan | Needham | Raises | Buy | $54.00 | $50.00 |
| Brian Pitz | BMO Capital | Raises | Outperform | $51.00 | $43.00 |
| Joseph Stauff | Susquehanna | Raises | Positive | $51.00 | $49.00 |
| Bernie McTernan | Needham | Maintains | Buy | $50.00 | - |
| Jed Kelly | Oppenheimer | Raises | Outperform | $55.00 | $44.00 |
| Matt Farrell | Piper Sandler | Raises | Overweight | $50.00 | $40.00 |
| Alistair Johnson | Exane BNP Paribas | Announces | Underperform | $28.00 | - |
| Jeffrey Stantial | Stifel | Raises | Buy | $45.00 | $40.00 |
| Brian Pitz | BMO Capital | Announces | Outperform | $43.00 | - |
| Bernie McTernan | Needham | Maintains | Buy | $50.00 | - |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to DraftKings. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of DraftKings compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for DraftKings's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
To gain a panoramic view of DraftKings's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on DraftKings analyst ratings.
Get to Know DraftKings Better
DraftKings got its start in 2012 as an innovator in daily fantasy sports. Then, following a Supreme Court ruling in 2018 that allowed states to legalize online sports wagering, the company expanded into online sports and casino gambling, where it generally holds the number two or three revenue share position across states in which it competes. DraftKings is now live with online sports betting in 24 states (46% of the U.S. population) and iGaming in seven states (11% of U.S.), with both products available to around 40% of Canada's population. The company also operates a non-fungible token commissioned-based marketplace and develops and licenses online gaming products.
Financial Milestones: DraftKings's Journey
Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.
Revenue Growth: DraftKings's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2023, the company achieved a revenue growth rate of approximately 43.94%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Net Margin: DraftKings's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -3.63%, the company may face hurdles in effective cost management.
Return on Equity (ROE): DraftKings's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -5.44%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): DraftKings's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -1.14%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: DraftKings's debt-to-equity ratio is below the industry average at 1.6, reflecting a lower dependency on debt financing and a more conservative financial approach.
What Are Analyst Ratings?
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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