DraftKings price target lowered to $54 from $57 at Citizens JMP

Citizens JMP analyst Jordan Bender lowered the firm’s price target on DraftKings (DKNG) to $54 from $57 and keeps an Outperform rating on the shares. DraftKings missed revenue and EBITDA expectations in the quarter, with another quarter of negative sporting outcomes resulting in gaming margins 90 basis points below expectations, the analyst tells investors in a research note. The firm believes DraftKings has levers to pull to help offset volatility in the business model, ranging from product mix, new verticals, a further push into iGaming, and more efficient marketing and promotions.