: DraftKings’ stock clinches five-day winning streak after two analysts boost bullish views

DraftKings Inc. shares closed 2.7% higher Thursday, extending their recent rally as two analysts boosted their price targets on the online-gambling name. JMP Securities analyst Jordan Bender is upbeat about the company’s upcoming June-quarter earnings report. “We believe quarterly results should highlight top-line strength,” he wrote, while lower promotional activity could help the company on the bottom line. “Promotions exhibited some of the lowest levels in the industry since inception, and during earnings calls we expect operators to highlight heightened customer reinvest, leading to strong retention rates,” Bender wrote of the online sports-betting industry, while upping his price target on DraftKings shares to $33 from $31 and keeping a market-outperform rating. BTIG’s Clark Lampen wrote that DraftKings’ results could be helped by “favorable outcomes” as far as event results. DraftKings also seems to be benefitting from “continuing parlay mix shifts and moderating competition,” Lampen said, as he boosted his target price to $34 from $31 and kept his buy rating. DraftKings’ Thursday stock rally comes after shares gained 5.3% in Wednesday’s session on the heels of a BofA Securities upgrade. The stock has risen for five straight trading sessions, and it’s exploded 175% higher so far in 2023 as the S&P 500 SPX has moved up 17%.

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