These Analysts Slash Their Forecasts On DraftKings After Q1 Results

DraftKings Inc DKNG reported downbeat first-quarter financial results after market close Thursday.

DraftKings reported first-quarter revenue of $1.41 billion, up 20% year-over-year. The revenue total missed a Street consensus estimate of $1.44 billion according to data from Benzinga Pro. The company reported earnings per share of 12 cents, missing a Street consensus estimate of 22 cents per share.

“Recent product enhancements are driving outperformance in our core value drivers, and our customer metrics continue to be strong through an evolving macroeconomic environment,” DraftKings CEO Jason Robins said.

The company lowered its full-year revenue guidance from a previous range of $6.3 billion to $6.6 billion to a new range of $6.2 billion to $6.4 billion. The company also cut its full-year adjusted EBITDA guidance from a range of $900 million to $1.0 billion to a new range of $800 million to $900 million.

DraftKings shares gained 4.4% to trade at $37.83 on Monday.

These analysts made changes to their price targets on DraftKings following earnings announcement.

• Needham analyst Bernie McTernan maintained DraftKings with a Buy and lowered the price target from $65 to $60.
• Guggenheim analyst Curry Baker maintained the stock with a Buy and lowered the price target from $61 to $60.
• Barclays analyst Brandt Montour maintained DraftKings with an Overweight rating and cut the price target from $50 to $48.

Considering buying DKNG stock? Here’s what analysts think:

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