Hodges Capital Management Inc. Sells 252,173 Shares of DraftKings Inc. (NASDAQ:DKNG)

Hodges Capital Management Inc. reduced its position in shares of DraftKings Inc. (NASDAQ:DKNG) by 28.2% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 642,885 shares of the company’s stock after selling 252,173 shares during the period. DraftKings accounts for about 1.9% of Hodges Capital Management Inc.’s investment portfolio, making the stock its 9th largest position. Hodges Capital Management Inc. owned about 0.07% of DraftKings worth $29,193,000 at the end of the most recent reporting period.

Other hedge funds also recently modified their holdings of the company. Highlander Capital Management LLC boosted its position in shares of DraftKings by 180.0% in the fourth quarter. Highlander Capital Management LLC now owns 700 shares of the company’s stock worth $25,000 after acquiring an additional 450 shares during the last quarter. Transcendent Capital Group LLC acquired a new stake in shares of DraftKings in the fourth quarter worth approximately $26,000. Montag A & Associates Inc. acquired a new stake in shares of DraftKings in the fourth quarter worth approximately $29,000. Massmutual Trust Co. FSB ADV lifted its position in DraftKings by 117.5% during the first quarter. Massmutual Trust Co. FSB ADV now owns 922 shares of the company’s stock valued at $42,000 after buying an additional 498 shares in the last quarter. Finally, FSC Wealth Advisors LLC acquired a new position in DraftKings during the fourth quarter valued at approximately $37,000. 37.70% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

DKNG has been the topic of a number of recent research reports. Mizuho initiated coverage on shares of DraftKings in a research report on Tuesday, March 26th. They set a “buy” rating and a $58.00 price target on the stock. Stifel Nicolaus reduced their price target on shares of DraftKings from $51.00 to $50.00 and set a “buy” rating on the stock in a research report on Wednesday, May 29th. Wells Fargo & Company reduced their price target on shares of DraftKings from $54.00 to $53.00 and set an “overweight” rating on the stock in a research report on Tuesday. Jefferies Financial Group lifted their price target on shares of DraftKings from $52.00 to $54.00 and gave the company a “buy” rating in a research report on Monday, May 6th. Finally, UBS Group lifted their price target on shares of DraftKings from $56.00 to $60.00 and gave the company a “buy” rating in a research report on Wednesday, May 15th. Two analysts have rated the stock with a sell rating, two have given a hold rating and twenty-five have assigned a buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $49.24.

Insider Activity

In other news, insider Jason Robins sold 200,000 shares of the business’s stock in a transaction on Monday, April 22nd. The shares were sold at an average price of $40.91, for a total transaction of $8,182,000.00. Following the completion of the transaction, the insider now owns 3,043,231 shares of the company’s stock, valued at $124,498,580.21. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. In related news, Director Harry Sloan sold 250,000 shares of the company’s stock in a transaction dated Friday, June 14th. The shares were sold at an average price of $38.15, for a total value of $9,537,500.00. Following the completion of the sale, the director now owns 250,000 shares of the company’s stock, valued at $9,537,500. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Jason Robins sold 200,000 shares of the company’s stock in a transaction dated Monday, April 22nd. The stock was sold at an average price of $40.91, for a total transaction of $8,182,000.00. Following the completion of the sale, the insider now directly owns 3,043,231 shares of the company’s stock, valued at approximately $124,498,580.21. The disclosure for this sale can be found here. Over the last quarter, insiders sold 1,520,340 shares of company stock valued at $60,996,583. 51.19% of the stock is currently owned by company insiders.

DraftKings Stock Performance

DKNG stock traded up $1.06 during trading on Friday, hitting $38.17. 13,803,609 shares of the company’s stock traded hands, compared to its average volume of 10,248,119. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 1.51. DraftKings Inc. has a 52 week low of $24.97 and a 52 week high of $49.57. The stock has a fifty day moving average price of $40.67 and a two-hundred day moving average price of $40.56. The stock has a market capitalization of $33.18 billion, a price-to-earnings ratio of -32.35 and a beta of 1.81.

DraftKings (NASDAQ:DKNG) last released its earnings results on Thursday, May 2nd. The company reported ($0.30) earnings per share for the quarter, missing the consensus estimate of ($0.28) by ($0.02). DraftKings had a negative net margin of 13.45% and a negative return on equity of 62.74%. The business had revenue of $1.18 billion for the quarter, compared to the consensus estimate of $1.12 billion. During the same quarter in the previous year, the firm earned ($0.87) EPS. The firm’s revenue for the quarter was up 52.7% on a year-over-year basis. As a group, equities analysts anticipate that DraftKings Inc. will post -0.24 EPS for the current fiscal year.

About DraftKings

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.