We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The Zacks Consensus Estimate for revenues is pegged at $1.22 billion, indicating an increase of 42.88% from the year-ago quarter’s levels.
The consensus mark for loss has moved south by 50% in the past 30 days to 6 cents per share.
The company’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing the same once. DraftKings has a trailing four-quarter earnings surprise of 13.23%, on average.
Let’s see how things have shaped prior to this announcement.
DraftKings’ fourth-quarter performance is expected to have benefited from increasing global demand for online gambling and sports betting.
DKNG’s efforts to expand the company’s Sportsbook product offering into new jurisdictions and improved promotional reinvestment for Sportsbook and iGaming are expected to have driven customer acquisition, engagement and retention in the to-be-reported quarter.
The company is live with its Sportsbook and iGaming products in Ontario, Canada, which represents approximately 40% of Canada’s population.
In the third quarter, Average Revenue per Monthly Unique Payers was $114, up 14% year over year, attributed to an improvement in the company’s structural sportsbook hold rate and a continued mix shift into DraftKings’ Sportsbook and iGaming products. The trend is likely to have continued in the to-be-reported quarter.
Following the launch of its Sportsbook product in Kentucky on Sep 28, 2023, DKNG is live with mobile sports betting in 22 states that collectively represent approximately 45% of the U.S. population.
DraftKings is also live with iGaming in five states, representing approximately 11% of the U.S. population. The demand for iGaming, such as Roulette and Blackjack, is expected to have aided growth in active user activity in the to-be-reported quarter.
What Our Model Says
Our proven model does not predict an earnings beat for DraftKings this time around. Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
DraftKings currently has an Earnings ESP of -14.71% and carries a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Per our model, Duolingo (DUOL - Free Report) , NVIDIA (NVDA - Free Report) and Block (SQ - Free Report) have the right combination of elements to post an earnings beat in their upcoming releases.
Duolingo has an Earnings ESP of +22.09% and sports a Zacks Rank #1 at present. Duolingo is set to announce fourth-quarter 2023 results on Feb 28. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 114.01%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for DUOL’s earnings is pinned at 17 cents per share, indicating growth from the year-ago quarter’s loss of 35 cents per share. The consensus mark for revenues is pegged at $146.95 billion, suggesting a year-over-year rise of 41.55%.
NVIDIA has an Earnings ESP of +5.26% and carries a Zacks Rank #2 at present. The company is scheduled to report fourth-quarter 2023 results on Feb 21. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 19%.
The Zacks Consensus Estimate for NVIDIA’s fourth-quarter earnings is pegged at $4.51 per share, indicating a year-over-year increase of 412.5%. The consensus mark for revenues is pinned at $20.18 billion, suggesting a year-over-year rise of 233.5%.
Block has an Earnings ESP of +1.05% and carries a Zacks Rank #3 at present. The company is scheduled to report fourth-quarter 2023 results on Feb 22. Its earnings beat the Zacks Consensus Estimate thrice in the preceding four quarters while missing on one occasion, with the average surprise being 11%.
The Zacks Consensus Estimate for Block’s fourth-quarter earnings is pegged at 60 cents per share, indicating a year-over-year rise of 172.7%. It is estimated to report revenues of $5.69 billion, which suggests an increase of approximately 22.3% from the year-ago quarter.
Image: Shutterstock
DraftKings (DKNG) to Report Q4 Earnings: What's in Store?
DraftKings (DKNG - Free Report) is set to report fourth-quarter 2023 results on Feb 15.
The Zacks Consensus Estimate for revenues is pegged at $1.22 billion, indicating an increase of 42.88% from the year-ago quarter’s levels.
The consensus mark for loss has moved south by 50% in the past 30 days to 6 cents per share.
The company’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing the same once. DraftKings has a trailing four-quarter earnings surprise of 13.23%, on average.
Let’s see how things have shaped prior to this announcement.
DraftKings Inc. Price and EPS Surprise
DraftKings Inc. price-eps-surprise | DraftKings Inc. Quote
Factors to Consider
DraftKings’ fourth-quarter performance is expected to have benefited from increasing global demand for online gambling and sports betting.
DKNG’s efforts to expand the company’s Sportsbook product offering into new jurisdictions and improved promotional reinvestment for Sportsbook and iGaming are expected to have driven customer acquisition, engagement and retention in the to-be-reported quarter.
The company is live with its Sportsbook and iGaming products in Ontario, Canada, which represents approximately 40% of Canada’s population.
In the third quarter, Average Revenue per Monthly Unique Payers was $114, up 14% year over year, attributed to an improvement in the company’s structural sportsbook hold rate and a continued mix shift into DraftKings’ Sportsbook and iGaming products. The trend is likely to have continued in the to-be-reported quarter.
Following the launch of its Sportsbook product in Kentucky on Sep 28, 2023, DKNG is live with mobile sports betting in 22 states that collectively represent approximately 45% of the U.S. population.
DraftKings is also live with iGaming in five states, representing approximately 11% of the U.S. population. The demand for iGaming, such as Roulette and Blackjack, is expected to have aided growth in active user activity in the to-be-reported quarter.
What Our Model Says
Our proven model does not predict an earnings beat for DraftKings this time around. Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
DraftKings currently has an Earnings ESP of -14.71% and carries a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Per our model, Duolingo (DUOL - Free Report) , NVIDIA (NVDA - Free Report) and Block (SQ - Free Report) have the right combination of elements to post an earnings beat in their upcoming releases.
Duolingo has an Earnings ESP of +22.09% and sports a Zacks Rank #1 at present. Duolingo is set to announce fourth-quarter 2023 results on Feb 28. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 114.01%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for DUOL’s earnings is pinned at 17 cents per share, indicating growth from the year-ago quarter’s loss of 35 cents per share. The consensus mark for revenues is pegged at $146.95 billion, suggesting a year-over-year rise of 41.55%.
NVIDIA has an Earnings ESP of +5.26% and carries a Zacks Rank #2 at present. The company is scheduled to report fourth-quarter 2023 results on Feb 21. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 19%.
The Zacks Consensus Estimate for NVIDIA’s fourth-quarter earnings is pegged at $4.51 per share, indicating a year-over-year increase of 412.5%. The consensus mark for revenues is pinned at $20.18 billion, suggesting a year-over-year rise of 233.5%.
Block has an Earnings ESP of +1.05% and carries a Zacks Rank #3 at present. The company is scheduled to report fourth-quarter 2023 results on Feb 22. Its earnings beat the Zacks Consensus Estimate thrice in the preceding four quarters while missing on one occasion, with the average surprise being 11%.
The Zacks Consensus Estimate for Block’s fourth-quarter earnings is pegged at 60 cents per share, indicating a year-over-year rise of 172.7%. It is estimated to report revenues of $5.69 billion, which suggests an increase of approximately 22.3% from the year-ago quarter.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.