By Dhirendra Tripathi
Investing.com – DraftKings (NASDAQ:DKNG) shares jumped 9% on Wednesday after reports that Cathie Wood’s ARK and the Norwegian sovereign wealth fund were buying the company’s shares.
Adding to the optimism, a number of analysts Increased their target prices for the stock.
Wood and her ARK Invest have bought 949,200 shares of DraftKings for the ARK Innovation ETF (NYSE:ARKK), according to Seeking Alpha.
According to Yahoo, Norway’s sovereign wealth fund, which owns $1.3 trillion of equities worldwide, has added DraftKings to its portfolio.
Rosenblatt Securities analyst Bernie McTernan on Wednesday reiterated his ‘buy’ rating on DraftKings with a price target of $81, which is approximately 19% above the present share price.
Needham & Company analyst Chris Pierce has reiterated a ‘buy’ with a price target of $80, as per Benzinga.
The current consensus among 21 analysts tracked by TipRanks is for a ‘moderate buy’ rating of shares in DraftKings, with an average price target of $71. Price targets range from a high of $105 to a low of $41.
Stocks that could gain from the reopening of the economy or a faster Covid-19 vaccine rollout are finding favor with the investors. DraftKings could be among the bigger beneficiaries as states contemplate making mobile gaming and sports betting legal.
DraftKings Jumps on Buying from Cathie Wood’s ARK, Norway’s Wealth Fund
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