DraftKings (NASDAQ:DKNG) stock is gaining on Tuesday after the sports betting company’s shares got an upgrade from Moffett Nathanson.
Moffett Nathanson analyst Robert Fishman upgraded shares of DKNG stock from a “hold” rating to a “buy” rating today. To put that in perspective, the analyst consensus rating for DKNG shares is a moderate buy based on 29 opinions.
To go along with that upgrade, Fishman set a price target of $37 per share for DKNG stock. That represents a potential 31.4% upside for the shares. It’s also above the analyst consensus price prediction of $34.37 per share.
What’s Behind the DKNG Stock Upgrade?
The Moffett Nathanson analyst believes a profit inflection is on the way. Here’s what Fishman said on the matter in a note to clients obtained by Seeking Alpha:
“We expect this momentum in both sides of the business to continue, which should drive sustained, robust topline growth while the company remains focused on strategically reining in expense growth.”
Shares of DNKG stock are up 5.9% on Tuesday morning alongside the upgrade. As of this writing, more than 5 million shares have traded. This is still below the company’s daily average trading volume of about 11.5 million units.
Investors that are seeking out even more of the most recent stock market news on Tuesday are going to want to keep reading!
We are offering up all of the biggest stock market stories that traders need to know about this morning. A few examples of that include why shares of RTX (NYSE:RTX) and IonQ (NYSE:IONQ) stock are on the move today. You can catch up on all of these topics at the following links!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
