DraftKings (DKNG) Declines More Than Market: Some Information for Investors

Company Performance - DraftKings' stock closed at $38.44, reflecting a decrease of 0.26% from the previous day, underperforming the S&P 500, which fell by 0.22% [1] - Over the past month, DraftKings shares have decreased by 24.1%, significantly trailing the Consumer Discretionary sector's loss of 8.76% and the S&P 500's loss of 7.48% [1] Upcoming Earnings - The upcoming earnings disclosure is expected to show an EPS of$ 0.23, representing a 176.67% increase year-over-year, with revenue anticipated at $1.56 billion, a 32.44% rise compared to the same quarter last year [2] - For the full year, earnings are projected at$ 1.41 per share and revenue at $6.45 billion, indicating increases of 234.29% and 35.33% respectively from the previous year [3] Analyst Estimates and Rankings - Recent changes to analyst estimates for DraftKings suggest a positive outlook, with the Zacks Consensus EPS estimate rising by 16.44% in the past month [5] - DraftKings currently holds a Zacks Rank of 3 (Hold), indicating a neutral position in the market [5] Valuation Metrics - DraftKings has a Forward P/E ratio of 27.38, which is higher than the industry's average Forward P/E of 21.27 [6] - The company has a PEG ratio of 0.5, significantly lower than the Gaming industry's average PEG ratio of 2.32 [6] Industry Context - The Gaming industry is part of the Consumer Discretionary sector and currently holds a Zacks Industry Rank of 144, placing it in the bottom 43% of over 250 industries [7] - The Zacks Industry Rank indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]