Roth Capital maintains DraftKings (DKNG:NSD) the Sell rating and $23 target

STA Research
by: STA Research

Roth Capital maintains the Sell rating of DraftKings   with a $23 target on the company’s stock price.

Based on the DraftKings Inc. stock forecasts from 17 analysts, the average analyst target price for DraftKings Inc. is USD 51.14 over the next 12 months. DraftKings Inc.’s average analyst rating is Buy. Stock Target Advisor’s own stock analysis of DraftKings Inc. is Bearish, which is based on 1 positive signal and 5 negative signals. At the last closing, DraftKings Inc.’s stock price was USD 26.10. DraftKings Inc.’s stock price has changed by +1.45% over the past week, -4.31% over the past month and -52.22% over the last year.

DraftKings Inc. is a online sports company focused on the entertainment and gaming sector. DraftKings Inc. was founded in 2011 and it’s office resides in Boston, USA.

What we like:

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

What we don’t like:

Poor risk-adjusted returns

This company is delivering below median risk-adjusted returns in its peers. Even if it is outperforming on returns, the returns are unpredictable. Proceed with caution.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Negative cash flow

The company had negative total cash flow in the most recent four quarters.

 

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