DRAFTKINGS INC-CL A (DKNG) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:DKNG • US26142V1052

26.76 USD
-0.66 (-2.41%)
At close: Feb 3, 2026
26.7085 USD
-0.05 (-0.19%)
After Hours: 2/3/2026, 8:11:09 PM
Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to DKNG. DKNG was compared to 132 industry peers in the Hotels, Restaurants & Leisure industry. DKNG scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. DKNG is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

0

1. Profitability

1.1 Basic Checks

  • DKNG had negative earnings in the past year.
  • DKNG had a positive operating cash flow in the past year.
  • DKNG had negative earnings in each of the past 5 years.
  • DKNG had negative operating cash flow in 4 of the past 5 years.
DKNG Yearly Net Income VS EBIT VS OCF VS FCFDKNG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2018 2019 2020 2021 2022 2023 2024 0 -500M -1B -1.5B

1.2 Ratios

  • The Return On Assets of DKNG (-5.79%) is worse than 76.52% of its industry peers.
  • Looking at the Return On Equity, with a value of -36.54%, DKNG is doing worse than 62.12% of the companies in the same industry.
Industry RankSector Rank
ROA -5.79%
ROE -36.54%
ROIC N/A
ROA(3y)-22.09%
ROA(5y)-27.91%
ROE(3y)-83.28%
ROE(5y)-77.48%
ROIC(3y)N/A
ROIC(5y)N/A
DKNG Yearly ROA, ROE, ROICDKNG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2018 2019 2020 2021 2022 2023 2024 0 100 -100 200

1.3 Margins

  • DKNG has a Gross Margin of 39.23%. This is in the lower half of the industry: DKNG underperforms 63.64% of its industry peers.
  • DKNG's Gross Margin has declined in the last couple of years.
  • DKNG does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 39.23%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.53%
GM growth 5Y-10.9%
DKNG Yearly Profit, Operating, Gross MarginsDKNG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2018 2019 2020 2021 2022 2023 2024 0 50 -50 -100 -150 -200

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4

2. Health

2.1 Basic Checks

  • DKNG does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • The number of shares outstanding for DKNG has been increased compared to 1 year ago.
  • Compared to 5 years ago, DKNG has more shares outstanding
  • The debt/assets ratio for DKNG has been reduced compared to a year ago.
DKNG Yearly Shares OutstandingDKNG Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M
DKNG Yearly Total Debt VS Total AssetsDKNG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

2.2 Solvency

  • Based on the Altman-Z score of 1.12, we must say that DKNG is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of DKNG (1.12) is comparable to the rest of the industry.
  • The Debt to FCF ratio of DKNG is 3.42, which is a good value as it means it would take DKNG, 3.42 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 3.42, DKNG belongs to the top of the industry, outperforming 82.58% of the companies in the same industry.
  • A Debt/Equity ratio of 2.51 is on the high side and indicates that DKNG has dependencies on debt financing.
  • DKNG has a Debt to Equity ratio (2.51) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 2.51
Debt/FCF 3.42
Altman-Z 1.12
ROIC/WACCN/A
WACC8.5%
DKNG Yearly LT Debt VS Equity VS FCFDKNG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2018 2019 2020 2021 2022 2023 2024 0 1B 2B

2.3 Liquidity

  • DKNG has a Current Ratio of 1.09. This is a normal value and indicates that DKNG is financially healthy and should not expect problems in meeting its short term obligations.
  • DKNG has a Current ratio of 1.09. This is comparable to the rest of the industry: DKNG outperforms 59.09% of its industry peers.
  • DKNG has a Quick Ratio of 1.09. This is a normal value and indicates that DKNG is financially healthy and should not expect problems in meeting its short term obligations.
  • DKNG's Quick ratio of 1.09 is fine compared to the rest of the industry. DKNG outperforms 61.36% of its industry peers.
Industry RankSector Rank
Current Ratio 1.09
Quick Ratio 1.09
DKNG Yearly Current Assets VS Current LiabilitesDKNG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B

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6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 35.23% over the past year.
  • The Revenue has grown by 18.51% in the past year. This is quite good.
  • Measured over the past years, DKNG shows a very strong growth in Revenue. The Revenue has been growing by 71.28% on average per year.
EPS 1Y (TTM)35.23%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%13.33%
Revenue 1Y (TTM)18.51%
Revenue growth 3Y54.37%
Revenue growth 5Y71.28%
Sales Q2Q%4.43%

3.2 Future

  • DKNG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.14% yearly.
  • Based on estimates for the next years, DKNG will show a quite strong growth in Revenue. The Revenue will grow by 17.83% on average per year.
EPS Next Y81.88%
EPS Next 2Y62.09%
EPS Next 3Y51.78%
EPS Next 5Y38.14%
Revenue Next Year25.21%
Revenue Next 2Y23.65%
Revenue Next 3Y20.65%
Revenue Next 5Y17.83%

3.3 Evolution

  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
DKNG Yearly Revenue VS EstimatesDKNG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2B 4B 6B 8B 10B
DKNG Yearly EPS VS EstimatesDKNG Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 0 2 -2 4 6

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3

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings Ratio is negative for DKNG. In the last year negative earnings were reported.
  • A Price/Forward Earnings ratio of 40.23 indicates a quite expensive valuation of DKNG.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of DKNG is on the same level as its industry peers.
  • DKNG's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.51.
Industry RankSector Rank
PE N/A
Fwd PE 40.23
DKNG Price Earnings VS Forward Price EarningsDKNG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 20 -20 40 -40

4.2 Price Multiples

  • Based on the Price/Free Cash Flow ratio, DKNG is valued a bit cheaper than the industry average as 64.39% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 24.85
EV/EBITDA N/A
DKNG Per share dataDKNG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • A more expensive valuation may be justified as DKNG's earnings are expected to grow with 51.78% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y62.09%
EPS Next 3Y51.78%

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0

5. Dividend

5.1 Amount

  • DKNG does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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DRAFTKINGS INC-CL A

NASDAQ:DKNG (2/3/2026, 8:11:09 PM)

After market: 26.7085 -0.05 (-0.19%)

26.76

-0.66 (-2.41%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)11-06
Earnings (Next)02-12
Inst Owners84.1%
Inst Owner Change-2.69%
Ins Owners2.78%
Ins Owner Change13.96%
Market Cap13.32B
Revenue(TTM)5.46B
Net Income(TTM)-267.57M
Analysts81.4
Price Target45.72 (70.85%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)34.89%
Min EPS beat(2)-21.61%
Max EPS beat(2)91.4%
EPS beat(4)2
Avg EPS beat(4)3.96%
Min EPS beat(4)-74.95%
Max EPS beat(4)91.4%
EPS beat(8)3
Avg EPS beat(8)107.53%
EPS beat(12)7
Avg EPS beat(12)83.25%
EPS beat(16)11
Avg EPS beat(16)68.01%
Revenue beat(2)1
Avg Revenue beat(2)-1.53%
Min Revenue beat(2)-7.74%
Max Revenue beat(2)4.67%
Revenue beat(4)1
Avg Revenue beat(4)-2.89%
Min Revenue beat(4)-7.74%
Max Revenue beat(4)4.67%
Revenue beat(8)2
Avg Revenue beat(8)-2.24%
Revenue beat(12)6
Avg Revenue beat(12)1.33%
Revenue beat(16)9
Avg Revenue beat(16)2.29%
PT rev (1m)0.11%
PT rev (3m)-12.26%
EPS NQ rev (1m)15.64%
EPS NQ rev (3m)-73.5%
EPS NY rev (1m)6.96%
EPS NY rev (3m)-158.84%
Revenue NQ rev (1m)0.96%
Revenue NQ rev (3m)-4.88%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)-4.38%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE 40.23
P/S 2.44
P/FCF 24.85
P/OCF 19.95
P/B 18.19
P/tB N/A
EV/EBITDA N/A
EPS(TTM)-0.57
EYN/A
EPS(NY)0.67
Fwd EY2.49%
FCF(TTM)1.08
FCFY4.02%
OCF(TTM)1.34
OCFY5.01%
SpS10.97
BVpS1.47
TBVpS-3.38
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA -5.79%
ROE -36.54%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 39.23%
FCFM 9.82%
ROA(3y)-22.09%
ROA(5y)-27.91%
ROE(3y)-83.28%
ROE(5y)-77.48%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.53%
GM growth 5Y-10.9%
F-Score7
Asset Turnover1.18
Health
Industry RankSector Rank
Debt/Equity 2.51
Debt/FCF 3.42
Debt/EBITDA N/A
Cap/Depr 49.14%
Cap/Sales 2.41%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.09
Quick Ratio 1.09
Altman-Z 1.12
F-Score7
WACC8.5%
ROIC/WACCN/A
Cap/Depr(3y)48.74%
Cap/Depr(5y)49.7%
Cap/Sales(3y)3.1%
Cap/Sales(5y)4.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.23%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%13.33%
EPS Next Y81.88%
EPS Next 2Y62.09%
EPS Next 3Y51.78%
EPS Next 5Y38.14%
Revenue 1Y (TTM)18.51%
Revenue growth 3Y54.37%
Revenue growth 5Y71.28%
Sales Q2Q%4.43%
Revenue Next Year25.21%
Revenue Next 2Y23.65%
Revenue Next 3Y20.65%
Revenue Next 5Y17.83%
EBIT growth 1Y37.48%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year193.27%
EBIT Next 3Y68.22%
EBIT Next 5Y45.75%
FCF growth 1Y261.38%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y400.33%
OCF growth 3YN/A
OCF growth 5YN/A

DRAFTKINGS INC-CL A / DKNG FAQ

What is the fundamental rating for DKNG stock?

ChartMill assigns a fundamental rating of 3 / 10 to DKNG.


What is the valuation status of DRAFTKINGS INC-CL A (DKNG) stock?

ChartMill assigns a valuation rating of 3 / 10 to DRAFTKINGS INC-CL A (DKNG). This can be considered as Overvalued.


What is the profitability of DKNG stock?

DRAFTKINGS INC-CL A (DKNG) has a profitability rating of 0 / 10.


What is the financial health of DRAFTKINGS INC-CL A (DKNG) stock?

The financial health rating of DRAFTKINGS INC-CL A (DKNG) is 4 / 10.