Interestingly, the company has enough cash to expand the market through acquisitions and it is walking on the right path. Therefore, investors should take the report with a grain of salt, and it should not deter them from DKNG stocks bull case. After all, major sports shut down last year amid the novel coronavirus pandemic. Traders also thought sports betting gaming license wins would be positive catalysts. Barry Pack, Oregon Lotterys Director, said, We see benefits for Lottery too, as the shift to DraftKings means fewer third-party service providers and a simpler financial structure for player accounts.. Once profits can be clearly forecast, the valuation will be based on a discounted measure of their present value. Theres a simple reason why DKNG and other sports betting stocks rallied in 2020. The average Tattooed Chef stock price prediction forecasts a potential upside of 437.19% from the current TTCF share price of $1.21. All rights reserved. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Sign up below to get this incredible offer! Over that stretch, the S&P 500 has rallied about 20%. This is proof that the company confidently expects higher user growth and revenue generation in the coming quarter. Copyright 2023 InvestorPlace Media, LLC. Change of direction? 2023 InvestorPlace Media, LLC. 2023 InvestorPlace Media, LLC. DraftKings DKNG is set to report third-quarter 2021 results on Nov 5.The Zacks Consensus Estimate for revenues is pegged at $224.9 million, indicating an increase of 69.3% from the year-ago period . Opinions on the stock are mixed, with 16 analysts rating it as a "buy," 0 as "overweight," 7 as "hold," and 1 as "sell.". That is the reason why I dont feel right now that is important to discount the future sales and EBITDA to the present. Pessimistic: $21.62. Optimistic: $22.82, An uptrend is forecast for this month with an optimal target price of $22.6105. The stock is above fair value at current levels. The story is the same as it was when DKNG was rallying last month and last year. The short-term hit from canceled and postponed seasons was more than outweighed by the improved long-term outlook. From Q3 2020 to Q3 2021, MUPs grew by approximately 31.37%. The entire focus for traders interested in DKNG is $17.41. The stock also ran briefly in 2021 and in 2020, as well. And DraftKings long-term opportunity is as good as anyone. CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS . DraftKings and Penn National Gamings (NASDAQ:PENN) Barstool Sports are seeking petition signers to support adding sports betting to the Florida ballot. DKNG stock pulled back despite its stellar performance and growth outlook By Muslim Farooque, InvestorPlace Contributor Jul 20, 2021, 6:15 am EST Shares of online betting company DraftKings. For example, Seeking Alpha indicates that on average analysts estimate revenue will reach $3.58 billion by 2025. DKNG stock can reach $70 as the company makes all the right moves. That is no small feat. The EV / EBITDA ratio shows the ratio of the cost (EV) to its profit before tax, interest and amortization (EBITDA). "locale": "en" On the date of publication, Vandita Jadejadid not have (either directly or indirectly) any positions in the securities mentioned in this article. This is a clear sign that DraftKings is attracting users with its unique marketing strategies and its revenue is only trending upward. Yet here in 2021, the market seems to have forgotten that 2020 case. Great Panther Mining's latest twelve months diluted eps (cont. 5 Penny Cryptos With the Most Potential for Growth, 3 Cream-of-the-Crop Growth Stocks to Buy for 2023, Michael Burry Is Betting Big on These 2 AI Stocks, Why DraftKings Is Out of Favor Despite Its Strong Prospects. Today, it is one of the top players in the massive sports betting industry. The firm may achieve that target if sports betting volumes grow in the year ahead. After marking a high of 74, it made a lower high of 64. DraftKings has such a small amount of debt that we'll set it aside and focus on the US$2.6b in cash it held in June 2021. This clearly implies that the market is valuing DKNG many years into the future based on its forecast revenue and profitability. Article printed from InvestorPlace Media, https://investorplace.com/2021/11/dkng-stock-has-monstrous-potential-in-the-future-of-sports-betting/. Just a potential class action/investigation for Hindenburg hit piece Article printed from InvestorPlace Media, https://investorplace.com/2021/08/dkng-stock-is-set-for-growth-with-strong-q2-results-and-partnerships/. Nasdaq This is 15.33% more than the trading day before Thursday, 16th Feb 2023. DKNG stock pulled back despite its stellar performance and growth outlook. Its aggressive promotional activities will solidify its market share growth in sports betting. When should I record a loss on DraftKings stock? Next, I multiply the EBITDA number by 15 times to value those earnings. Always conduct your own due diligence before investing. This figure corresponds to the Average Price over the previous 50/200 days. Optimistic: $22.41. The company has made several acquisitions over the year and is constantly growing its presence across different states. Pessimistic: $18.16. Considering the potential of the company and the industry to cater to, DKNG stock is well positioned at the current level. Our 3 Top Picks. DraftKings stock is lower by 10.41 percent over the past month, and the gaming name shed 29.15 percent from its March highs. It has a growing user base in different states which will continue to push revenue higher. Copyright Nasdaq Lorem ipsum dolor sit amet, consectetur adipiscing elit. If you rely on the information on this page then you do so entirely on your own risk. The weighted average target price per DraftKings share in May 2025 is: 19.84. Since then, as of June 9, it is now at $54.35. On average, analysts forecast that TTCF's EPS will be -$0.39 for 2023 . Copyright 2023 InvestorPlace Media, LLC. 2023 InvestorPlace Media, LLC. It began the process for getting Nevada gaming licenses back on March 11, 2020. More importantly, it has been collaborating with Dish Networks (NASDAQ:DISH) Sling TV to offer sports betting information that effectively ties in sports updates into betting odds. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com, 5 Hypergrowth Stocks With 10X Potential in 2023, 7 Retail Stocks to Buy Regardless of Supply Shortages, Robert Bollinger: Meet the Man Behind Mullens Push Into Commercial EVs, A.I. At least as far as 2020 goes, the rally made more sense than it might have appeared given the short-term headwinds. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. It represents a massive market for DraftKings to gain entry if it can. In Q3 2020, it was $1.02m. The DKNG stock forecast price, according to Market Beat, varies from the low of $23 to the high of $85. quotes delayed at least 15 minutes, all others at least 20 minutes. What You Should Know. and Weighted Average Best Forecast. Copyright Plenty of sunshine. In addition, I dont think that it matters that much that the estimates I am using relate to 2025. As iGaming picks up steam, so too will DKNG stock. What Is the Best EV Stock to Buy Now? Fortunately, DraftKings has a strong brand name that consumers recognize. Copyright In fact, DKNG ran from about $15.50 to just above $21 at the start of the tournament. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.comPublishing Guidelines. This is despite the fact that right now the company is unprofitable. With the help of SBTech, DraftKings has been able to vertically integrate its business by owning its own technology platform for its primary product offering of sports entertainment and betting. Additionally, Loop Capital believes DraftKings relationship with the NFL could be a massive catalyst. DKNG stock returns are also predicted based on historical data. Right from the comfort of your home, you can engage in a game and socialize with your friends. Wallet Investor is bearish on DraftKings stock value, restricting our scope to provide DraftKings stock outlook for 2025-2030. Sign up below to get this incredible offer! 1125 N. Charles St, Baltimore, MD 21201. Recently, TSLA stock traded in the $1 trillion market capitalization. New state launches will continue playing a major role in sustaining its lofty growth numbers in the future. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. This implies that DKNG stock is now worth about $73 per share, or 34% above todays price. Why Hudson Bay May Not Be Able to Save Bed Bath & Beyond (BBBY) Stock, 5 Investors Betting Big on Exela (XELA) Stock in 2023, DraftKings Price Predictions: Why One Analyst Sees DKNG Stock Headed to $105. Dividend Per Share is a financial indicator equal to the ratio of the company's net profit available for distribution to the annual average of ordinary shares. Growth of 61.36% was reported with revenues up by $81m. Klicken Sie auf Alle ablehnen, wenn Sie nicht mchten, dass wir und unsere Partner Cookies und personenbezogene Daten fr diese zustzlichen Zwecke verwenden. Close price at the end of the last trading day (Friday, 17th Feb 2023) of the DKNG stock was $20.54. Ops) Growth trends, charts, and more. The stocks are grouped by market cap, from micro to mega-caps, for a total of 100 stocks (out of a universe of over 3,000 stocks). Your current $100 investment may be up to $1189.67 in 2028. On the app store, Oregon Lottery will replace the Scoreboard app with DraftKings Sportsbook. Over the past year, DKNG stock has gone from $30 to an all-time high of $74 in March and is down to $54 today. losed Joint Stock Company FinTech Solutions, Future price predictions and analyst forecasts. And sports betting taxes are a logical source of that revenue. Here are the top 20 stocks that have the highest upside according to Wall Street analysts. 1125 N. Charles St, Baltimore, MD 21201. Counted STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10K/A Fill & Sign Online, Print, Email, Fax, or Download . Positive dynamics for DraftKings shares will prevail with possible volatility of 2.566%.Pessimistic target level: 18.95Optimistic target level: 19.45, Forecast target price for 03-08-2023: $19.34. The company recently released Q2 earnings and it easily beat analyst forecasts. For the three months ended September 2021, revenue from MUPs was reported at $1.34m. quotes delayed at least 15 minutes, all others at least 20 minutes. At its core, my model depends on a report by Morgan Stanley analyst Thomas Allen. Bei der Nutzung unserer Websites und Apps verwenden wir, unsere Websites und Apps fr Sie bereitzustellen, Nutzer zu authentifizieren, Sicherheitsmanahmen anzuwenden und Spam und Missbrauch zu verhindern, und, Ihre Nutzung unserer Websites und Apps zu messen, personalisierte Werbung und Inhalte auf der Grundlage von Interessenprofilen anzuzeigen, die Effektivitt von personalisierten Anzeigen und Inhalten zu messen, sowie, unsere Produkte und Dienstleistungen zu entwickeln und zu verbessern. Investors are compensated by holding a firm belief that it is a leader in the betting field. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. In fact, when combining a Zacks Rank #3 or better and a positive Earnings ESP, stocks produced a positive surprise 70% of the time, while they also saw 28.3% annual returns on average, according . The stock had fallen 63% over the past year through Thursday's close. DraftKings reported revenues of $312 million, representing year-over-year growth of 175%. Though some of the sales are automated, this will give investors a negative perception of the DKNG stock value. The best performer of the Sportico Sports Stock Index was DraftKings (DKNG), which for the second-month in a row outpaced peers as investors increasingly view the business as the best play in U.S . The company is one of the biggest players in the sports betting industry. DKNG stock is down more than 35% from its highs in March. quotes delayed at least 15 minutes, all others at least 20 minutes. quotes delayed at least 15 minutes, all others at least 20 minutes. 2023 InvestorPlace Media, LLC. Join us as we find out what lies ahead for this sports betting company, undertake a DraftKings share price forecast and get analyst insights on DraftKings stock potential. Article printed from InvestorPlace Media, https://investorplace.com/moneywire/2021/04/bigger-market-cheaper-price-make-dkng-stock-buy/. In a 9 August 2021 press release, DraftKings announced that it would acquire and leverage Golden Nugget Online Gamings popular brand name and existing combined database of more than five million customers. Lorem ipsum dolor sit amet, consectetur adipiscing elit. DraftKings Inc. stock trend is negative. This win will lift the companys brand awareness and give it an edge over the competition. She is also involved in the design and development of sports betting and casino gaming platform software for online and retail bookmakers, as well as casino gaming products. I also believe its newly-launched NFT platform will work in favor of the company and eventually attract new users to the platform. The company recently acquired Golden Nugget (NASDAQ:GNOG), an online gambling service, for an all-stock transaction worth $1.56 billion. Optimistic: $20.20, An uptrend is forecast for this month with an optimal target price of $19.695. The report alleges that the business has done business in Iran and has been involved in illegal gambling activity. DKNG Historical Ratings and Targets. Major sports have since returned, leading to big-time growth in DraftKings revenue. The sports betting industry is massive, DraftKings is in a growth stage and there is huge potential to expand. On the date of publication, Mark R. Hake did not hold a position in any security mentioned in this article.