The stock of DraftKings Inc (NASDAQ: DKNG) has decreased by -0.14 when compared to last closing price of 41.95. Despite this, the company has experienced a 1.90% gain in its stock price over the last five trading sessions. zacks.com reported 2025-02-03 that Zacks.com users have recently been watching DraftKings (DKNG) quite a bit. Thus, it is worth knowing the facts that could determine the stock’s prospects.
Is It Worth Investing in DraftKings Inc (NASDAQ: DKNG) Right Now?
The 36-month beta value for DKNG is at 1.92. Analysts have varying views on the stock, with 22 analysts rating it as a “buy,” 8 rating it as “overweight,” 6 as “hold,” and 0 as “sell.”
The public float for DKNG is 470.07M, and currently, shorts hold a 4.79% of that float. The average trading volume for DKNG on February 03, 2025 was 8.57M shares.
DKNG’s Market Performance
DKNG’s stock has seen a 1.90% increase for the week, with a 12.61% rise in the past month and a 13.62% gain in the past quarter. The volatility ratio for the week is 2.77%, and the volatility levels for the past 30 days are at 3.64% for DraftKings Inc The simple moving average for the last 20 days is 4.16% for DKNG stock, with a simple moving average of 7.88% for the last 200 days.
Analysts’ Opinion of DKNG
Many brokerage firms have already submitted their reports for DKNG stocks, with Susquehanna repeating the rating for DKNG by listing it as a “Positive.” The predicted price for DKNG in the upcoming period, according to Susquehanna is $54 based on the research report published on January 08, 2025 of the current year 2025.
Mizuho, on the other hand, stated in their research note that they expect to see DKNG reach a price target of $62, previously predicting the price at $54. The rating they have provided for DKNG stocks is “Outperform” according to the report published on October 18th, 2024.
Susquehanna gave a rating of “Positive” to DKNG, setting the target price at $50 in the report published on October 07th of the previous year.
DKNG Trading at 2.57% from the 50-Day Moving Average
After a stumble in the market that brought DKNG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -15.49% of loss for the given period.
Volatility was left at 3.64%, however, over the last 30 days, the volatility rate increased by 2.77%, as shares surge +15.82% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -0.76% lower at present.
During the last 5 trading sessions, DKNG rose by +2.24%, which changed the moving average for the period of 200-days by -6.48% in comparison to the 20-day moving average, which settled at $40.22. In addition, DraftKings Inc saw 12.61% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at DKNG starting from Liberman Paul, who sale 200,000 shares at the price of $39.00 back on Jan 10 ’25. After this action, Liberman Paul now owns 1,342,722 shares of DraftKings Inc, valued at $7,800,000 using the latest closing price.
Liberman Paul sale 532,095 shares at $38.30 during a trade that took place back on Dec 26 ’24, which means that Liberman Paul is holding 68,654 shares at $20,379,238 based on the most recent closing price.
Stock Fundamentals for DKNG
Current profitability levels for the company are sitting at:
- -0.11 for the present operating margin
- 0.38 for the gross margin
The net margin for DraftKings Inc stands at -0.09. The total capital return value is set at -0.19. Equity return is now at value -44.43, with -10.25 for asset returns.
Based on DraftKings Inc (DKNG), the company’s capital structure generated 0.56 points at debt to capital in total, while cash flow to debt ratio is standing at 0.12. The debt to equity ratio resting at 1.25. The interest coverage ratio of the stock is -168.95.
Currently, EBITDA for the company is -586.65 million with net debt to EBITDA at -2.09. When we switch over and look at the enterprise to sales, we see a ratio of 4.54. The receivables turnover for the company is 71.57for trailing twelve months and the total asset turnover is 1.08. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.00.
Conclusion
In conclusion, DraftKings Inc (DKNG) has had a better performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
