{"id":1032,"date":"2023-11-19T03:13:58","date_gmt":"2023-11-19T00:13:58","guid":{"rendered":"https:\/\/xxbet-company.com\/draftkings-merits-caution-says-research-firm\/"},"modified":"2023-11-19T03:13:58","modified_gmt":"2023-11-19T00:13:58","slug":"draftkings-merits-caution-says-research-firm","status":"publish","type":"post","link":"https:\/\/xxbet-company.com\/es\/draftkings-merits-caution-says-research-firm\/","title":{"rendered":"DraftKings Merits Caution, Says Research Firm"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_34 counter-flat ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Tabla de contenidos<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1'><li class='ez-toc-page-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/xxbet-company.com\/es\/draftkings-merits-caution-says-research-firm\/#DraftKings_Ready_for_Elevated_Competition\" title=\"DraftKings Ready for Elevated Competition\">DraftKings Ready for Elevated Competition<\/a><\/li><li class='ez-toc-page-1'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/xxbet-company.com\/es\/draftkings-merits-caution-says-research-firm\/#DraftKings_Fundamentals_Are_Strong\" title=\"DraftKings Fundamentals Are Strong\">DraftKings Fundamentals Are Strong<\/a><\/li><\/ul><\/nav><\/div>\n<p>Following another impressive run this week, shares of DraftKings (NASDAQ: DKNG) are higher by 38.31% over the past month and have surged 236.60% year-to-date, but some analysts believe some caution should be applied to the high-flying gaming company.<\/p>\n<figure aria-describedby=\"caption-attachment-244408\" data-style=\"width: 858px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" fetchpriority=\"high\" class=\"wp-image-244408 size-post-thumbnail-858xAUTO\" src=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2022\/11\/DKNG-1-858x644.jpg\" alt=\"DraftKings Cashpicks\" width=\"858\" height=\"644\" srcset=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2022\/11\/DKNG-1-858x644.jpg 858w, https:\/\/www.casino.org\/news\/wp-content\/uploads\/2022\/11\/DKNG-1-430x323.jpg 430w, https:\/\/www.casino.org\/news\/wp-content\/uploads\/2022\/11\/DKNG-1.jpg 1280w\" sizes=\"(max-width: 858px) 100vw, 858px\" title=\"\"><figcaption class=\"text-description\">Inside a DraftKings office. A research firm says some caution is warranted with the high-flying gaming company. (Image: <em>Wall Street Journal<\/em>)<\/figcaption><\/figure>\n<p>This month, the online sportsbook operator <a href=\"https:\/\/www.casino.org\/news\/draftkings-boosts-2023-outlook-unveils-strong-2024-guidance\/\" rel=\"nofollow noopener\" target=\"_blank\">wowed the investment community<\/a> with elevated 2023 and 2024 earnings before interest, taxes, depreciation, amortization (EBITDA) and revenue guidance while delivering more of the same for 2025 and beyond <a href=\"https:\/\/www.casino.org\/news\/draftkings-stock-jumps-on-bullish-investor-day-guidance\/\" rel=\"nofollow noopener\" target=\"_blank\">at its investor day<\/a> earlier this week. Some market observers believe DraftKings\u2019 strong third-quarter results were the byproduct of an unusually soft competitive landscape.<\/p>\n<blockquote class=\"main-blockquote\">\n<p>Most salient was the unusually soft competitive landscape in the July-September period where DKNG\u2019s market share surged,\u201d observed Eilers &#038; Krejeck Gaming (EKG). \u201cBarstool was in limbo, BetMGM was light on spending and by its own admission, running out a sub-par sport betting product. Caesars was also cutting spending and Fanatics was just finding its feet.\u201d<\/p>\n<\/blockquote>\n<p>Emerging competitive threats to established online sports betting (OSB) operators such as DraftKings include Bet365, Penn Entertainment\u2019s (NASDAQ: PENN) newly launched ESPN Bet, and Fanatics.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"DraftKings_Ready_for_Elevated_Competition\"><\/span>DraftKings Ready for Elevated Competition<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>DraftKings has acknowledged new entrants to the sports betting space <a href=\"https:\/\/www.casino.org\/news\/draftkings-ceo-says-operator-ready-for-increased-competition\/\" rel=\"nofollow noopener\" target=\"_blank\">and says it\u2019s ready<\/a> for that competition.<\/p>\n<p>That operator and FanDuel are a duopoly in the US sports wagering industry, combining for over 70% market share. Data indicate DraftKings is also taking share. Conversely, the industry has claimed several smaller victims, with multiple operators departing or opting to sell themselves to larger rivals.<\/p>\n<p><strong>Another point is that competition in the domestic sports wagering industry is evolving and could prove more credible regarding wrestling shares from DraftKings and FanDuel. Establish operators have learned lessons on the spending front, and new entrants have the capital to compete immediately.<\/strong><\/p>\n<p>\u201cCaesars throwing buckets of money at OSB in 3Q21-2Q22, a period when its product and operational execution were not close to market-leading). Indeed, this round will feature multiple brands (ESPN Bet, Fanatics, bet365) with scale ambitions, deep warchests, competitive products, and increasingly sophisticated ops games,\u201d added EKG.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"DraftKings_Fundamentals_Are_Strong\"><\/span>DraftKings Fundamentals Are Strong<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>While DraftKings stock has delivered a scintillating performance this year, new rivals should not be ignored, nor should the operator\u2019s sturdy fundamental outlook. That includes expectations that the company should have more than $1.2 billion in cash on hand by the end of this year. Additionally, the time it takes a DraftKings customer to become profitable for the company is decreasing.<\/p>\n<blockquote class=\"main-blockquote\">\n<p><strong>DraftKings said its 2023 customer cohort will pay back its acquisition costs in 2.3 years, as opposed to nearly 3 years for 2021 customers. The trend is driven by improved bet mix (more parlays!) and marketing efficiencies,\u201d <\/strong>EKG concluded.<\/p>\n<\/blockquote>\n<p>Those factors and others are likely why at least five sell-side analysts boosted their <a href=\"https:\/\/www.casino.org\/news\/draftkings-called-top-online-gaming-stock-by-analyst\/\" rel=\"nofollow noopener\" target=\"_blank\">price targets on DraftKings<\/a> this week.<\/p>\n<p>The post <a href=\"https:\/\/www.casino.org\/news\/draftkings-deserve-some-caution-following-torrid-run\/\" rel=\"nofollow noopener\" target=\"_blank\">DraftKings Merits Caution, Says Research Firm<\/a> appeared first on <a href=\"https:\/\/www.casino.org\/news\" rel=\"nofollow noopener\" target=\"_blank\">Casino.org<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"<p>Following another impressive run this week, shares of DraftKings (NASDAQ: DKNG) are higher by 38.31% over the past month and have surged 236.60% year-to-date, but some analysts believe some caution should be applied to the high-flying gaming company. Inside a DraftKings office. A research firm says some caution is warranted with the high-flying gaming company. <a href=\"https:\/\/xxbet-company.com\/es\/draftkings-merits-caution-says-research-firm\/\" class=\"more-link\">&#8230;<\/a><\/p>","protected":false},"author":1,"featured_media":1033,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/posts\/1032"}],"collection":[{"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/comments?post=1032"}],"version-history":[{"count":0,"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/posts\/1032\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/media\/1033"}],"wp:attachment":[{"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/media?parent=1032"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/categories?post=1032"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/xxbet-company.com\/es\/wp-json\/wp\/v2\/tags?post=1032"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}