
DraftKings (DKNG) Stock Forecast & Price Target
DraftKings (DKNG) Analyst Ratings
Bulls say
DraftKings has experienced significant growth in its online sports betting and i-gaming sectors, with online sports betting holding increasing from 3.2% in 2021 to approximately 7% projected for 2025, driven by enhancements in pricing and strategic use of artificial intelligence. The company's gross profit has notably tripled over the past three years, supported by a growing customer base, increased customer volume, and effective promotional strategies, positioning it for sustained growth. Additionally, the company has transitioned to profitability and is forecasted to achieve double-digit revenue growth, bolstered by strong metrics and favorable upcoming catalysts in various operations.
Bears say
DraftKings is facing a negative outlook due to anticipated revenue deceleration in 2026, compounded by disappointing flow-through metrics and reduced EBITDA guidance, which has been revised down to $700-900 million from a previous target of $1.4 billion. Additionally, market-share losses and a slower pace of state legalization threaten the company's growth potential, while shifts in regulatory factors and higher state taxes contribute to the uncertainty surrounding its future performance. Lastly, the company's current trading multiples appear depressed, reflecting a market reaction to the core business's challenges and weaker long-term return trends in its stock performance.
This aggregate rating is based on analysts' research of DraftKings and is not a guaranteed prediction by Public.com or investment advice.
DraftKings (DKNG) Analyst Forecast & Price Prediction
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