We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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.
DraftKings (DKNG) Stock Declines While Market Improves: Some Information for Investors
Read MoreHide Full Article
DraftKings (DKNG - Free Report) ended the recent trading session at $42.32, demonstrating a -1.4% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.65%, and the tech-heavy Nasdaq gained 0.44%.
Shares of the company witnessed a loss of 11.01% over the previous month, trailing the performance of the Consumer Discretionary sector with its loss of 1.13%, and the S&P 500's gain of 2.72%.
Analysts and investors alike will be keeping a close eye on the performance of DraftKings in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.01, marking a 101.67% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $1.37 billion, showing a 25.4% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.33 per share and revenue of $6.36 billion, indicating changes of +226.67% and +33.4%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for DraftKings. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. At present, DraftKings boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, DraftKings is holding a Forward P/E ratio of 32.27. This valuation marks a premium compared to its industry average Forward P/E of 23.71.
Also, we should mention that DKNG has a PEG ratio of 0.57. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Gaming was holding an average PEG ratio of 1.82 at yesterday's closing price.
The Gaming industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
DraftKings (DKNG) Stock Declines While Market Improves: Some Information for Investors
DraftKings (DKNG - Free Report) ended the recent trading session at $42.32, demonstrating a -1.4% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.65%, and the tech-heavy Nasdaq gained 0.44%.
Shares of the company witnessed a loss of 11.01% over the previous month, trailing the performance of the Consumer Discretionary sector with its loss of 1.13%, and the S&P 500's gain of 2.72%.
Analysts and investors alike will be keeping a close eye on the performance of DraftKings in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.01, marking a 101.67% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $1.37 billion, showing a 25.4% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.33 per share and revenue of $6.36 billion, indicating changes of +226.67% and +33.4%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for DraftKings. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. At present, DraftKings boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, DraftKings is holding a Forward P/E ratio of 32.27. This valuation marks a premium compared to its industry average Forward P/E of 23.71.
Also, we should mention that DKNG has a PEG ratio of 0.57. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Gaming was holding an average PEG ratio of 1.82 at yesterday's closing price.
The Gaming industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.