DraftKings: Growth Is Slowing, Not Stopping
DraftKings Inc. reported record financials in Q4, but the focus is on weak 2026 guidance. Revenue growth seems to be slowing down due to a number of factors. Notably, evidence for disruption from pred...
Fiscal Year: January - December
DraftKings Inc. (DKNG), listed on the NASDAQ, has a market capitalization of $. As of Feb 21, 2026, the stock is trading at $22.31 per share, offering investors a clear view of its current market value. DraftKings Inc. is a prominent player in the industry sector, attracting both institutional and retail investors due to its performance and potential.
With a P/E ratio of 2964.59, investors can assess the stock's valuation in comparison to its earnings. A P/E ratio is a crucial indicator for value investors, showing whether the stock is over or undervalued relative to its current earnings. DraftKings Inc. also offers a dividend yield of N/A , making it an attractive option for income-focused investors who seek regular dividends.
Our Discounted Cash Flow (DCF) analysis reveals that DraftKings Inc. (DKNG) may be undervalued compared to its intrinsic worth. However, to see the exact DCF fair value, please Login or Upgrade for access.
The proprietary SS Score for DraftKings Inc. is a unique metric that analyzes the company's financial health and growth potential. The score takes into account critical factors such as revenue growth, net income, free cash flow (FCF) compound annual growth rate (CAGR), the trend of shares outstanding, and the debt-to-FCF ratio. This helps investors to make a more informed decision, as an undervalued stock might still have poor financial fundamentals.
To view the detailed SS Score for DraftKings Inc., Login or Upgrade for access.
The Price to Free Cash Flow (P/FCF) ratio for DraftKings Inc. is 16.99, offering insights into how much investors are paying for the company's free cash flow. A lower P/FCF ratio typically suggests that the stock is undervalued, while a higher ratio may indicate overvaluation.
In summary, DraftKings Inc. (DKNG) has shown consistent financial performance, as illustrated by the financial charts above, which track its revenue growth, net income, free cash flow, and shares outstanding over the past several years. These metrics provide investors with key insights into the company's past and projected future performance. Investors should use the SS Score alongside the DCF Fair Value to make better-informed decisions about whether to buy or hold the stock.
*This analysis is for informational purposes only and does not constitute investment advice. Always read the company's 10-K filings and do your own research before making any investment decisions.
Whether DraftKings Inc. (DKNG) is a good stock to buy depends on various factors, including its financial health, market conditions, and your investment strategy. Our analysis indicates that the stock may be undervalued compared to its intrinsic value. However, it is important to assess the SS Score and review the company's fundamentals before making any investment decisions.
The fair value of DraftKings Inc. (DKNG) is determined through our Discounted Cash Flow (DCF) analysis. This value represents the intrinsic worth of the stock based on its expected future cash flows. To view the specific fair value, consider subscribing to our service for complete access.
The SS Score is a proprietary financial quality metric that assesses factors such as revenue growth, net income, free cash flow growth, and debt levels. It helps investors evaluate the overall financial health of DraftKings Inc.. To access the full SS Score, consider upgrading your subscription.
DraftKings Inc. is a significant player in the industry sector, with a market capitalization of $ and a competitive P/E ratio of 2964.59. Investors should compare these metrics with industry peers to gauge whether DraftKings Inc. is outperforming or underperforming within its sector.
DraftKings Inc. reported record financials in Q4, but the focus is on weak 2026 guidance. Revenue growth seems to be slowing down due to a number of factors. Notably, evidence for disruption from pred...
In the fourth quarter of 2025, the Baron Discovery Fund returned 0.19% (Institutional Shares), trailing the Russell 2000 Growth Index by 1.03%. In these periods, low quality (high debt and poor profit...
Jason Robins, CEO of DraftKings (DKNG), talks about the ways his company is taking advantage of the rise in prediction markets and how it will benefit into the next NFL season. AI optimization is anot...
For investors, DraftKings has been anything but a sure bet.
DraftKings Inc. (DKNG) Q4 2025 Earnings Call Transcript
Legalized sports betting triggered one of the fastest state-by-state commercial expansions in modern consumer tech. At least until prediction markets went over the heads of state regulators straight t...
The sports-betting company sees “a massive, incremental opportunity” in the hot world of prediction markets.
The online sports betting operator reported a 43% jump in sales during the fourth quarter and shared ambitious investment plans for its prediction markets platform.
Reported Positive Net Income Set Records for Revenue and Adjusted EBITDA Reported Positive Net Income Set Records for Revenue and Adjusted EBITDA
DraftKings Inc (NASDAQ: DKNG) could underscore both the upsides and downsides of prediction markets when it reports fourth-quarter results on Thursday after market close.
DraftKings faces a mixed outlook, balancing free cash flow growth, competitive pressures, and significant debt obligations. DKNG's share repurchase program aims to boost intrinsic value but may not ef...
The first prediction-markets Super Bowl just happened — and it didn't disappoint.
Market Domination host Jared Blikre breaks down the latest market news for February 6, 2026. Brad Conger, Hirtle Callaghan chief investment officer, explains why he thinks 2026 will be a 'very volatil...
New exchange connection brings first player-specific sports event contracts to DraftKings Predictions New exchange connection brings first player-specific sports event contracts to DraftKings Predicti...
Draftkings CEO Jason Robins joins 'Squawk on the Street' to discuss Super Bowl betting, prediction markets, and more.
DraftKings Inc. (NASDAQ: DKNG) shares declined on Friday. The decline comes as Guggenheim lowered its price target on the stock and the Commodity Futures Trading Commission (CFTC) announced a major po...
Fourth Quarter 2025 Earnings Conference Call to Be Held on February 13, 2026 Fourth Quarter 2025 Earnings Conference Call to Be Held on February 13, 2026
Bernie McTernan, Needham senior analyst, joins 'Power Lunch' to discuss sports betting stocks, prediction markets and much more.
DraftKings is a Strong Buy, and I don't see prediction markets posing a material threat to its sportsbook dominance or growth trajectory. DKNG's business momentum is robust, with all-time highs in hol...
BofA Securities analyst Shaun C. Kelley said the gaming sector is starting 2026 with online sports betting still at the center of investor focus, even as softer trends across Las Vegas, regional casin...
DraftKings has achieved near-duopoly status in U.S. online sports betting, yet shares remain down 39% from early 2021 highs. Comparisons to the mature U.K. market highlight regulatory risks and stagna...
DraftKings offers a favorable risk-to-reward profile ahead of the Super Bowl at its current stressed valuation given the stock's 83.3% and 100% win rates in January and February. DraftKings approach t...
Until the IRS says otherwise, sports betting on Kalshi and Polymarket may have a tax advantage over traditional sportsbooks.
Sportsbooks have been having a tough year — but the Paul-Joshua fight was a good night for the house.
DraftKings Inc. announced its formal entry into the prediction markets with DraftKings Predictions. The launch is a response to increasing prediction market competition. The launch expands DKNG's addr...
Below estimates were sourced from SimplyWallSt and are intended for educational purposes only as a baseline for the analysis.
| Year | FCF Estimate | % | # Analysts |
|---|---|---|---|
| 2026 | 739.52M | Analyst x7 | |
| 2027 | 1,126.42M | 52.32% | Analyst x8 |
| 2028 | 1,400.13M | 24.30% | Analyst x2 |
| 2029 | 1,942.70M | 38.75% | Analyst x1 |
| 2030 | 2,198.34M | 13.16% | Analyst x1 |
| 2031 | 2,346.39M | 6.74% | Est @6.7% |
| 2032 | 2,475.04M | 5.48% | Est @5.5% |
| 2033 | 2,589.01M | 4.60% | Est @4.6% |
| 2034 | 2,685.43M | 3.72% | Est @3.7% |
| 2035 | 2,774.72M | 3.33% | Est @3.3% |
Below are the FCF estimates with the discount factor and the calculated present value with the terminal value that led the results above.
| Year | FCF | Discount Factor | PV of Future FCF |
|---|---|---|---|
| 2024A | 407.59M | 1.00 | 407.59M |
| 2025A | 647.50M | 1.00 | 647.50M |
| 2026E | 739.52M | 1.10 | 670.15M |
| 2027E | 1.13B | 1.22 | 925.01M |
| 2028E | 1.40B | 1.34 | 1.04B |
| 2029E | 1.94B | 1.48 | 1.31B |
| 2030E | 2.20B | 1.64 | 1.34B |
| 2031E | 2.35B | 1.81 | 1.30B |
| 2032E | 2.48B | 1.99 | 1.24B |
| 2033E | 2.59B | 2.20 | 1.18B |
| 2034E | 2.69B | 2.43 | 1.11B |
| 2035E | 2.77B | 2.68 | 1.04B |
| Terminal | 36.22B | 2.68 | 13.53B |
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