DraftKings’ Price Target Raised at Oppenheimer on Higher Revenue Estimates
<p>Oppenheimer analysts raised their price target on <a href='https://financialmodelingprep.com/financial-summary/DKNG'>DraftKings (NASDAQ:DKNG)</a> to $36.00 from $30.00 while reiterating their Outperform rating based on higher revenue forecasts. </p>
<p>The analysts cited state gaming reports that indicate stronger product engagement, resulting in increased market share and more efficient customer acquisition costs (CAC).</p>
<p>Key investor debates, according to the analysts, revolve around comparing second-half 2022's structural hold improvements, emerging competitors, and guidance for 2024 (with Buyside expectations above the Street's $150 million EBITDA). </p>
<p>The analysts believe that a more engaged user base will offset tougher hold comparisons, while newer entrants like Fanatics and Bet365 may take market share from smaller players. Additionally, the analysts suggest that the current legislative cadence supports higher profitability, and investors may be underappreciating the favorable iGaming outcome in Illinois, Indiana, and New York.</p>

NASDAQ:DKNG