DKNG Stock Analysis: DraftKings | NASDAQ
Gambling | NASDAQ, USA | Market Cap: 12.532m USD | 12M Return: -37.3% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 327M
Qual. Beats: 0
Rev. Trend: 98.8%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 6.9 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
DraftKings Inc. (DKNG) is a U.S.-based digital sports entertainment and gaming company that operates online and retail sports betting, daily fantasy sports, digital lottery courier services, prediction markets, and online casino (iGaming) products such as blackjack, roulette, baccarat, and slots. The company also develops sports betting and casino gaming software for other operators, giving it both a consumer-facing and B2B technology presence. Founded in 2011 and headquartered in Boston, Massachusetts, DraftKings went public on NASDAQ on April 24, 2020.
The U.S. online sports betting and iGaming industry operates under a state-by-state regulatory framework, with operators required to obtain licenses in each jurisdiction where they offer products. DraftKings competes primarily against FanDuel, owned by Flutter Entertainment, with the two companies together accounting for the majority of U.S. online sports betting market share. The business model generates revenue principally from a percentage commission (often called hold or vig) retained on customer wagers, with profitability largely dependent on customer acquisition costs, promotional spending, and state tax rates.
- New state sports betting launches accelerate user growth
- iGaming penetration lifts blended margin profile
- FanDuel competition intensifies marketing and customer acquisition spend
- Rising state tax rates pressure path to profitability
| Net Income: 58.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.16 > 0.02 and ΔFCF/TA 8.44 > 1.0 |
| NWC/Revenue: 0.47% < 20% (prev 6.04%; Δ -5.57% < -1%) |
| CFO/TA 0.17 > 3% & CFO 733.4m > Net Income 58.6m |
| Net Debt (1.00b) to EBITDA (401.7m): 2.49 < 3 |
| Current Ratio: 1.02 > 1.5 & < 3 |
| Outstanding Shares: last quarter (532.0m) vs 12m ago 7.85% < -2% |
| Gross Margin: 41.79% > 18% (prev 38.33%; Δ 3.46% > 0.5%) |
| Asset Turnover: 142.6% > 50% (prev 110.8%; Δ 31.86% > 0%) |
| Interest Coverage Ratio: 2.94 > 6 (EBIT TTM 124.7m / Interest Expense TTM 42.4m) |
| A: 0.01 (Total Current Assets 1.58b - Total Current Liabilities 1.55b) / Total Assets 4.31b |
| B: -1.49 (Retained Earnings -6.42b / Total Assets 4.31b) |
| C: 0.03 (EBIT TTM 124.7m / Avg Total Assets 4.41b) |
| D: 0.16 (Book Value of Equity 605.0m / Total Liabilities 3.70b) |
| Altman-Z'' = -4.45 = D |
| DSRI: 0.46 (Receivables 86.1m/147.5m, Revenue 6.29b/5.00b) |
| GMI: 0.92 (GM 38.33% / 41.79%) |
| AQI: 1.05 (AQ_t 0.60 / AQ_t-1 0.57) |
| SGI: 1.26 (Revenue 6.29b / 5.00b) |
| TATA: -0.16 (NI 58.6m - CFO 733.4m) / TA 4.31b) |
| Beneish M = -3.34 (Cap -4..+1) = AA |
As of July 03, 2026, the stock is trading at USD 25.89 with a total of 7,036,058 shares traded. Over the past week, the price has changed by +12.08%, over one month by +2.33%, over three months by +11.79% and over the past year by -37.34%.
Current recommended Stop Loss: 22.60 (which is 12.7% or 2.3 ATR below the current price).
DraftKings has received a consensus analysts rating of 4.47. Therefore, it is recommended to buy DKNG.
- StrongBuy: 20
- Buy: 7
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 34.9 | 35% |
P/E Trailing = 280.6667
P/E Forward = 23.1481
P/S = 1.9918
P/B = 21.1556
P/EG = 0.0944
Revenue TTM = 6.29b USD
EBIT TTM = 124.7m USD
EBITDA TTM = 401.7m USD
Long Term Debt = 1.84b USD (from longTermDebt, last quarter)
Short Term Debt = 10.9m USD (from shortTermDebt, last quarter)
Debt = 2.00b USD (from shortLongTermDebtTotal, last quarter) + Leases 82.5m
Net Debt = 1.00b USD (calculated: Debt 2.00b - CCE 999.4m)
Enterprise Value = 13.5b USD (12.5b + Debt 2.00b - CCE 999.4m)
Interest Coverage Ratio = 2.94 (Ebit TTM 124.7m / Interest Expense TTM 42.4m)
EV/FCF = 19.95x (Enterprise Value 13.5b / FCF TTM 678.5m)
FCF Yield = 5.01% (FCF TTM 678.5m / Enterprise Value 13.5b)
FCF Margin = 10.78% (FCF TTM 678.5m / Revenue TTM 6.29b)
Net Margin = 0.93% (Net Income TTM 58.6m / Revenue TTM 6.29b)
Gross Margin = 41.79% ((Revenue TTM 6.29b - Cost of Revenue TTM 3.66b) / Revenue TTM)
Gross Margin QoQ = 42.32% (prev 45.98%)
Tobins Q-Ratio = 3.14 (Enterprise Value 13.5b / Total Assets 4.31b)
Interest Expense / Debt = 2.12% (Interest Expense 42.4m / Debt 2.00b)
Taxrate = 21.69% (16.2m / 74.9m)
NOPAT = 97.6m (EBIT 124.7m * (1 - 21.69%))
Current Ratio = 1.02 (Total Current Assets 1.58b / Total Current Liabilities 1.55b)
Debt / Equity = 3.31 (Debt 2.00b / totalStockholderEquity, last quarter 605.0m)
Debt / EBITDA = 2.49 (Net Debt 1.00b / EBITDA 401.7m)
Debt / FCF = 1.48 (Net Debt 1.00b / FCF TTM 678.5m)
Total Stockholder Equity = 744.6m (last 4 quarters mean from totalStockholderEquity)
RoA = 1.33% (Net Income 58.6m / Total Assets 4.31b)
RoE = 7.88% (Net Income TTM 58.6m / Total Stockholder Equity 744.6m)
RoCE = 4.83% (EBIT 124.7m / Capital Employed (Equity 744.6m + L.T.Debt 1.84b))
RoIC = 3.98% (NOPAT 97.6m / Invested Capital 2.46b)
WACC = 9.21% (E(12.5b)/V(14.5b) * Re(10.41%) + D(2.00b)/V(14.5b) * Rd(2.12%) * (1-Tc(0.22)))
Discount Rate = 10.41% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 97.75 | Cagr: 5.85%
[DCF] Terminal Value 75.25% ; FCFF base≈539.2m ; Y1≈618.1m ; Y5≈909.7m
[DCF] Fair Price = 21.96 (EV 11.9b - Net Debt 1.00b = Equity 10.9b / Shares 496.1m; r=9.21% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.24 | # QB: 0
Revenue Correlation: 98.80 | Revenue CAGR: 29.22% | SUE: 0.34 | # QB: 0
EPS current Quarter (2026-09-30): EPS=-0.11 | Chg30d=-0.95% | Revisions=-45% | Analysts=10
EPS current Year (2026-12-31): EPS=1.07 | Chg30d=-0.19% | Revisions=-38% | GrowthEPS=+62.3% | GrowthRev=+12.0%
EPS next Year (2027-12-31): EPS=1.71 | Chg30d=-0.07% | Revisions=-25% | GrowthEPS=+59.7% | GrowthRev=+12.6%
[Analyst] Revisions Ratio: -45%