DraftKings price target raised to $40 from $36 at Stifel

Stifel analyst Jeffrey Stantial raised the firm’s price target on DraftKings to $40 from $36 and keeps a Hold rating on the shares after management during the company’s investor day revised long-term adjusted EBITDA targets “meaningfully higher,” reflecting higher total market size and market share as a function of improved customer acquisition, retention, and monetization, at a similar projected margin profile. The guidance revisions are “undeniably impressive, and culminate a tremendous FY23,” but with shares up 225% year-to-date, “upside feels appropriately priced-in for now with competitive risks lingering,” the analyst tells investors.