DraftKings (DKNG) Beats Stock Market Upswing: What Investors Need to Know
In the latest market close, DraftKings (DKNG) reached $45.41, with a +0.13% movement compared to the previous day. The stock's change was more than the S&P 500's daily gain of 0.11%. On the other hand, the Dow registered a gain of 0.12%, and the technology-centric Nasdaq decreased by 0.12%.
Heading into today, shares of the company had gained 7.13% over the past month, outpacing the Consumer Discretionary sector's gain of 0.92% and the S&P 500's gain of 3.55% in that time.
Analysts and investors alike will be keeping a close eye on the performance of DraftKings in its upcoming earnings disclosure. The company is predicted to post an EPS of -$0.28, indicating a 67.82% growth compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $1.12 billion, indicating a 45.5% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of -$0.24 per share and a revenue of $4.82 billion, indicating changes of +86.13% and +31.46%, respectively, from the former year.
Any recent changes to analyst estimates for DraftKings should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 9.45% higher. Currently, DraftKings is carrying a Zacks Rank of #3 (Hold).
The Gaming industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 145, which puts it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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DraftKings Inc. (DKNG) : Free Stock Analysis Report
