DraftKings price target lowered to $65 from $70 at BMO Capital

BMO Capital analyst Brian Pitz lowered the firm’s price target on DraftKings (DKNG) to $65 from $70 and keeps an Outperform rating on the shares. Overhangs from weaker State online sportsbetting data and a growing competitive environment have been meaningfully weighing on shares since Q4, and BMO’s State disclosures analysis highlights solid January/February iGaming growth is being offset by y/y declines in March sportsbetting revenues, suggesting DraftKings may miss Q1 estimates and reduce its FY25 outlook, the analyst tells investors in a research note.