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DraftKings (DKNG) Gains As Market Dips: What You Should Know
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DraftKings (DKNG - Free Report) ended the recent trading session at $20.94, demonstrating a +2% change from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 1.21%. At the same time, the Dow added 0.02%, and the tech-heavy Nasdaq lost 2.6%.
The company's shares have seen a decrease of 3.39% over the last month, not keeping up with the Consumer Discretionary sector's gain of 2.48% and the S&P 500's loss of 0.03%.
Market participants will be closely following the financial results of DraftKings in its upcoming release. The company plans to announce its earnings on November 5, 2026. It is anticipated that the company will report an EPS of -$0.1, marking a 61.54% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $1.41 billion, up 23.31% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.9 per share and revenue of $6.72 billion. These totals would mark changes of +36.36% and +11%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for DraftKings. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 19.05% decrease. DraftKings is holding a Zacks Rank of #5 (Strong Sell) right now.
From a valuation perspective, DraftKings is currently exchanging hands at a Forward P/E ratio of 22.81. This represents a premium compared to its industry average Forward P/E of 15.73.
One should further note that DKNG currently holds a PEG ratio of 0.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Gaming industry stood at 1.07 at the close of the market yesterday.
The Gaming industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 210, positioning it in the bottom 15% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
View the Zacks #1 Rank List
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DraftKings (DKNG) Gains As Market Dips: What You Should Know
DraftKings (DKNG - Free Report) ended the recent trading session at $20.94, demonstrating a +2% change from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 1.21%. At the same time, the Dow added 0.02%, and the tech-heavy Nasdaq lost 2.6%.
The company's shares have seen a decrease of 3.39% over the last month, not keeping up with the Consumer Discretionary sector's gain of 2.48% and the S&P 500's loss of 0.03%.
Market participants will be closely following the financial results of DraftKings in its upcoming release. The company plans to announce its earnings on November 5, 2026. It is anticipated that the company will report an EPS of -$0.1, marking a 61.54% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $1.41 billion, up 23.31% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.9 per share and revenue of $6.72 billion. These totals would mark changes of +36.36% and +11%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for DraftKings. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 19.05% decrease. DraftKings is holding a Zacks Rank of #5 (Strong Sell) right now.
From a valuation perspective, DraftKings is currently exchanging hands at a Forward P/E ratio of 22.81. This represents a premium compared to its industry average Forward P/E of 15.73.
One should further note that DKNG currently holds a PEG ratio of 0.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Gaming industry stood at 1.07 at the close of the market yesterday.
The Gaming industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 210, positioning it in the bottom 15% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.