Added to YB: 2026-05-26
Pitch date: 2026-05-24
DKNG [neutral]
DraftKings Inc.
Author Info
Farrer 36 is an asset manager based out of Singapore that focuses on long-only equity strategies. Sign up for the newsletter.
Company Info
DraftKings Inc. operates as a digital sports entertainment and gaming company in the United States and internationally.
Market Cap
$12.5B
Pitch Price
N/A
Price Target
N/A
Dividend
N/A
EV/EBITDA
37.59
P/E
274.25
EV/Sales
2.13
Sector
Hotels, Restaurants and Leisure
Category
growth
(Non) Semi-Baked Ideas - DraftKings Inc.
DKNG (quick overview): Closing gap w/ FanDuel in US online sports betting duopoly. Q1 2026 sportsbook rev $1.1B (+24% YoY), adj EBITDA $168M (+64%, 10.2% margin vs FanDuel +6% rev, -26% EBITDA). Core biz profitable >$1B EBITDA before $200-300M prediction market reinvestment. Predictions hit $1B volume Apr, CAC down 80% MoM, higher margin than sportsbook, expands TAM. World Cup tailwind. Trading 15x fwd EBITDA but regulatory risk on predictions looms.
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