What could happen to DraftKings stock if its stock price falls?
Shares of DraftKings have lost over one-third of their value from highs earlier this year. As the company tries to make two large acquisitions, the falling stock price could make deals more difficult. As DraftKings burns cash, a lower stock price could also lead to dilution if management needs to raise cash from shareholders.
What does the DraftKings-NBA deal mean for DraftKings stock?
This agreement grants DraftKings expansive NBA rights and assets to integrate within its sports betting, daily fantasy sports, iGaming and free-to-play products and promotional offerings. On April 24 last year, DraftKings stock broke out above a 19.60 buy point in a cup base.
How much of DraftKings'stock is owned by insiders?
In the past three months, DraftKings insiders have sold 1,763.76% more of their company's stock than they have bought. Specifically, they have bought $2,233,670.00 in company stock and sold $41,630,191.00 in company stock. 62.00% of the stock of DraftKings is held by insiders.
How does DraftKings distribute their products?
The company distributes its product offerings through various channels, including traditional websites and direct app downloads, as well as direct-to-consumer digital platforms, such as the Apple App store and the Google Play store. DraftKings Inc. was founded in 2011 and is headquartered in Boston, Massachusetts.
Why is DraftKings stock going down?
DraftKings Inc. shares fell their most in almost two years after the company added fewer new customers in the fourth quarter and projected a wider loss this year than Wall Street had expected.
What is happening with DraftKings?
DraftKings stock is sinking after earnings. That forecast, however, was overshadowed by a wider-than-expected projected loss in 2022 as competition in online sports gambling intensifies. DraftKings shares (ticker: DKNG) were down 14.5%, to $18.86, in morning trading on Friday.
Is DraftKings stock worth buying?
Wall Street remains fairly bullish on DraftKings, with 58% of analysts rating it a Buy and 42% rating it a Hold. Earlier this year, Argus Research downgraded the shares to Hold due to competition concerns and slowing revenue growth.
What is DraftKings stock prediction?
Stock Price Forecast The 27 analysts offering 12-month price forecasts for DraftKings Inc have a median target of 25.00, with a high estimate of 60.00 and a low estimate of 13.00. The median estimate represents a +96.39% increase from the last price of 12.73.
Is DraftKings stock overvalued?
A shrinking valuation doesn't make an attractive valuation. DraftKings is still overvalued compared to its industry peers.
Is DraftKings losing money?
DraftKings lost $326 million in the fourth quarter, and had fewer users than expected. The loss came despite healthy growth in the top line in the last three months of 2021, with sales rising 47 percent to $473 million. The Super Bowl ad blitz is expected to further bolster legalized sports betting.
Is DraftKings stock gonna go up?
He predicted that revenue could grow by 63% in 2022, and by 38% annually through 2025. Despite the months-long selloff, analysts are cautiously optimistic about the stock. Of the 32 analysts covering the shares, 19 rated them a Buy or Overweight, 12 rated them a Hold, and one has a Sell rating.
Will DraftKings ever go back up?
It is also notable that Wall Street analysts mostly expect DraftKings to remain unprofitable until 2024, according to Bloomberg consensus data.
Who owns the most DraftKings stock?
The Vanguard Group, Inc.Top 10 Owners of DraftKings IncStockholderStakeShares ownedThe Vanguard Group, Inc.6.15%26,914,343ARK Investment Management LLC5.35%23,416,465Nikko Asset Management Co., Ltd.3.23%14,142,028Nikko Asset Management Americas, ...3.05%13,326,1476 more rows
What is Nio price target?
The 31 analysts offering 12-month price forecasts for NIO Inc have a median target of 30.42, with a high estimate of 82.50 and a low estimate of 21.97. The median estimate represents a +32.38% increase from the last price of 22.98.
Is GNOG stock a good buy?
Analysts like Golden Nugget Online Gaming stock less than the stock of other Consumer Discretionary companies. The consensus rating for Golden Nugget Online Gaming is Hold while the average consensus rating for consumer discretionary companies is Buy. Learn more on how GNOG compares to other companies.
What is the target price for Baba stock?
Stock Price TargetsHigh$1,537.81Median$1,001.35Low$707.57Average$1,008.16Current Price$102.24
Should I buy or sell DraftKings stock right now?
22 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for DraftKings in the last twelve months. There are current...
What is DraftKings' stock price forecast for 2022?
22 Wall Street analysts have issued 1-year target prices for DraftKings' shares. Their forecasts range from $16.00 to $85.00. On average, they anti...
How has DraftKings' stock performed in 2022?
DraftKings' stock was trading at $27.47 at the beginning of 2022. Since then, DKNG stock has decreased by 52.3% and is now trading at $13.10. View...
When is DraftKings' next earnings date?
DraftKings is scheduled to release its next quarterly earnings announcement on Friday, August 5th 2022. View our earnings forecast for DraftKings .
How were DraftKings' earnings last quarter?
DraftKings Inc. (NASDAQ:DKNG) issued its quarterly earnings data on Friday, May, 6th. The company reported ($1.14) earnings per share for the quart...
What guidance has DraftKings issued on next quarter's earnings?
DraftKings issued an update on its FY 2022 earnings guidance on Monday, June, 6th. The company provided earnings per share (EPS) guidance of for th...
Who are DraftKings' key executives?
DraftKings' management team includes the following people: Mr. Jason D. Robins , Co-Founder, Chairman & CEO (Age 41, Pay $2.73M) ( LinkedIn Prof...
What is Jason Robins' approval rating as DraftKings' CEO?
102 employees have rated DraftKings CEO Jason Robins on Glassdoor.com . Jason Robins has an approval rating of 99% among DraftKings' employees. Th...
Who are some of DraftKings' key competitors?
Some companies that are related to DraftKings include Vail Resorts (MTN) , International Game Technology (IGT) , Madison Square Garden Sports (M...
About DraftKings
Headlines
DraftKings Inc. operates as a digital sports entertainment and gaming company in the United States. It operates through two segments, Business-to-Consumer and Business-to-Business. The company provides users with daily sports, sports betting, and iGaming opportunities.
DraftKings (NASDAQ:DKNG) Frequently Asked Questions
DraftKings Could Face Margin Headwinds This Year. Analysts Slash Their Targets. - Barron's
NASDAQ: DKNG
28 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for DraftKings in the last twelve months. There are currently 10 hold ratings and 18 buy ratings for the stock.
DraftKings is trying to use its stock to acquire the competition, which will be tougher as the stock falls
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A growth machine
Shares of DraftKings ( DKNG -0.28% ) have fallen 35% from their all-time high earlier this year, and are down over 25% in the last few weeks alone. The stock is down in part because growth stocks are falling as interest rates rise, but investors also haven't been pleased with DraftKings' very aggressive acquisition strategy.
NASDAQ: DKNG
DraftKings is absolutely a growth machine. The company grew revenue 73% in the past year, and expects to generate $1.21 billion to $1.29 billion in revenue this year.
DraftKings' stock price is important
Revenue growth doesn't come without a price, though. You can see above that the company also burned $425 million in cash over the past year, and that cash burn rate is growing as DraftKings spends on sales and marketing and expansion into new territories.
Confidence in DraftKings is key
The falling stock price is important for a couple of reasons. First, stock sales can be used to fund organic growth initiatives, like spending on sales and marketing, as DraftKings has been doing. Given the cash burn rate above, DraftKings could use stock sales to fund further growth as more states open up sports betting and iGaming.
DraftKings is on a slippery slope
Investor confidence in a company like DraftKings is key for the company long-term, because it allows management to grow and acquire competitors without having to worry about being profitable or cash-flow positive. The stock can be a piggy bank to be used when needed.
How much did Draftkings lose in 2019?
Despite being a major player in online gambling in the U.S., DraftKings needs to perform flawlessly and keep investor confidence to reach its potential. After the Entain offer, we're starting to see some cracks in the company's acquisition strategy and the stock is falling as a result.
What is Draftkings betting?
DraftKings is on the road to profitability. After losing $3.26 a share in 2019, the company lost $2.76 a share in 2020. Analysts expect the company to lose $2.41 in 2021 and $1.61 per share in 2022, according to IBD data.
Is Draftkings available in Virginia?
DraftKings is an online sports platform that allows users to play daily fantasy games and win cash prizes. DraftKings is on the road to profitability.
Is Draftkings a sportsbook?
On Jan. 24, DraftKings announced the launch of DraftKings Sportsbook in Virginia, marking the 12th state in which DraftKings is available. On Jan. 26, DraftKings surged over 5% after Goldman Sachs upgraded DKNG stock from neutral to buy, while raising the price target from 45 to 65.
