DRAFTKINGS INC-CL A (DKNG)
US26142V1052 - Common Stock
Taking everything into account, DKNG scores 2 out of 10 in our fundamental rating. DKNG was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. DKNG has a bad profitability rating. Also its financial health evaluation is rather negative. DKNG is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
DKNG had negative earnings in the past year.
In the past year DKNG has reported a negative cash flow from operations.
In the past 5 years DKNG always reported negative net income.
In the past 5 years DKNG always reported negative operating cash flow.
1.2 Ratios
DKNG has a Return On Assets of -20.33%. This is amonst the worse of the industry: DKNG underperforms 93.28% of its industry peers.
With a Return On Equity value of -95.46%, DKNG is not doing good in the industry: 68.66% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.33% | ||
| ROE | -95.46% | ||
| ROIC | N/A |
ROA(3y)-30.62%
ROA(5y)-34.17%
ROE(3y)-96.8%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 37.46%, DKNG is doing worse than 67.16% of the companies in the same industry.
In the last couple of years the Gross Margin of DKNG has declined.
DKNG does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.46% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.93%
GM growth 5Y-13.75%
2. Health
2.1 Basic Checks
DKNG does not have a ROIC to compare to the WACC, probably because it is not profitable.
DKNG has more shares outstanding than it did 1 year ago.
The debt/assets ratio for DKNG is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.21 indicates that DKNG is not a great score, but indicates only limited risk for bankruptcy at the moment.
DKNG has a better Altman-Z score (2.21) than 65.67% of its industry peers.
DKNG has a Debt/Equity ratio of 1.49. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.49, DKNG perfoms like the industry average, outperforming 55.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.21 |
ROIC/WACCN/A
WACC8.92%
2.3 Liquidity
A Current Ratio of 1.34 indicates that DKNG should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.34, DKNG is doing good in the industry, outperforming 65.67% of the companies in the same industry.
DKNG has a Quick Ratio of 1.34. 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 1.34 is fine compared to the rest of the industry. DKNG outperforms 70.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
DKNG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 59.21%, which is quite impressive.
Looking at the last year, DKNG shows a very strong growth in Revenue. The Revenue has grown by 63.61%.
The Revenue has been growing by 74.54% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)59.21%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q81.13%
Revenue 1Y (TTM)63.61%
Revenue growth 3Y81.36%
Revenue growth 5Y74.54%
Revenue growth Q2Q43.94%
3.2 Future
Based on estimates for the next years, DKNG will show a very strong growth in Earnings Per Share. The EPS will grow by 34.68% on average per year.
Based on estimates for the next years, DKNG will show a quite strong growth in Revenue. The Revenue will grow by 19.49% on average per year.
EPS Next Y91.04%
EPS Next 2Y46.09%
EPS Next 3Y33.52%
EPS Next 5Y34.68%
Revenue Next Year60.18%
Revenue Next 2Y37.4%
Revenue Next 3Y18.5%
Revenue Next 5Y19.49%
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.
4. Valuation
4.1 Price/Earnings Ratio
DKNG reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for DKNG. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
DKNG's earnings are expected to grow with 33.52% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y46.09%
EPS Next 3Y33.52%
5. Dividend
5.1 Amount
DKNG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DRAFTKINGS INC-CL A
NASDAQ:DKNG (4/18/2024, 7:00:02 PM)
After market: 41.65 +0.01 (+0.02%)41.64
-0.57 (-1.35%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap19.81B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.33% | ||
| ROE | -95.46% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.46% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)59.21%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y91.04%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)63.61%
Revenue growth 3Y81.36%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y