Sports-betting platform DraftKings reported first quarter results that was better than analysts’ expectations, on the back of strong revenue growth.
DraftKings’ adjusted loss for the quarter came in at - 36 cents a share, narrower than the -43 cents loss a share anticipated by analysts polled by FactSet.
The company’s revenue surged +252.6% from the year-ago quarter to $312.3 million, exceeding analysts' estimates of $236.2 million.
The number of monthly unique players was 1.5 million as of its first quarter, vs. 1.31 million expected by analysts (according to FactSet). Average revenue per monthly unique paying customer came in at $61 in the first quarter, rising +48% from the year-ago period. It was boosted by increased engagement with its iGaming and mobile sports betting product offerings, as well as cross-selling, the company said.
Looking ahead, DraftKings boosted its fiscal 2021 revenue guidance from a range of $900 million to $1 billion to a range of $1.05 billion to $1.15 billion. Analysts had been expecting $1.05 billion.
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where DKNG advanced for three days, in of 214 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 41 cases where DKNG's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on May 31, 2023. You may want to consider a long position or call options on DKNG as a result. In of 65 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 216 cases where DKNG Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The 10-day RSI Indicator for DKNG moved out of overbought territory on May 23, 2023. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 29 similar instances where the indicator moved out of overbought territory. In of the 29 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Moving Average Convergence Divergence Histogram (MACD) for DKNG turned negative on May 23, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 38 similar instances when the indicator turned negative. In of the 38 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where DKNG declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
DKNG broke above its upper Bollinger Band on May 05, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. DKNG’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (10.593) is normal, around the industry mean (10.826). P/E Ratio (0.000) is within average values for comparable stocks, (53.305). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (0.207). Dividend Yield (0.000) settles around the average of (0.046) among similar stocks. P/S Ratio (4.029) is also within normal values, averaging (5.457).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. DKNG’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a digital sports entertainment and gaming company, which provides online and retail sports wagering offerings, online daily fantasy contests and online casino games
A.I.dvisor indicates that over the last year, DKNG has been loosely correlated with CZR. These tickers have moved in lockstep 65% of the time. This A.I.-generated data suggests there is some statistical probability that if DKNG jumps, then CZR could also see price increases.
|CZR - DKNG|
|RSI - DKNG|
|PENN - DKNG|
|LNW - DKNG|
|IGT - DKNG|