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 may be in some trouble as it scores bad on both profitability and health. DKNG is quite expensive at the moment. It does show a decent growth rate.
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.
In the past 5 years DKNG always reported negative net income.
DKNG had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of DKNG (-9.76%) is worse than 86.57% of its industry peers.
Looking at the Return On Equity, with a value of -38.76%, DKNG is doing worse than 61.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.76% | ||
| ROE | -38.76% | ||
| 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
DKNG has a Gross Margin of 38.50%. This is in the lower half of the industry: DKNG underperforms 66.42% of its industry peers.
DKNG's Gross Margin has declined in the last couple of years.
The Profit Margin and Operating Margin are not available for DKNG so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 38.5% |
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.
DKNG has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.60 indicates that DKNG is not a great score, but indicates only limited risk for bankruptcy at the moment.
DKNG's Altman-Z score of 2.60 is fine compared to the rest of the industry. DKNG outperforms 73.88% of its industry peers.
DKNG has a debt to FCF ratio of 19.61. This is a negative value and a sign of low solvency as DKNG would need 19.61 years to pay back of all of its debts.
DKNG's Debt to FCF ratio of 19.61 is in line compared to the rest of the industry. DKNG outperforms 48.51% of its industry peers.
DKNG has a Debt/Equity ratio of 1.17. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of DKNG (1.17) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 19.61 | ||
| Altman-Z | 2.6 |
ROIC/WACCN/A
WACC8.76%
2.3 Liquidity
A Current Ratio of 1.00 indicates that DKNG may have some problems paying its short term obligations.
DKNG's Current ratio of 1.00 is in line compared to the rest of the industry. DKNG outperforms 54.48% of its industry peers.
A Quick Ratio of 1.00 indicates that DKNG may have some problems paying its short term obligations.
DKNG's Quick ratio of 1.00 is in line compared to the rest of the industry. DKNG outperforms 58.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 43.59% over the past year.
DKNG shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.01%.
DKNG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 74.54% yearly.
EPS 1Y (TTM)43.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-71.43%
Revenue 1Y (TTM)40.01%
Revenue growth 3Y81.36%
Revenue growth 5Y74.54%
Sales Q2Q%38.68%
3.2 Future
The Earnings Per Share is expected to grow by 44.42% on average over the next years. This is a very strong growth
DKNG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.01% yearly.
EPS Next Y74.31%
EPS Next 2Y63.32%
EPS Next 3Y53.01%
EPS Next 5Y44.42%
Revenue Next Year39.64%
Revenue Next 2Y30.74%
Revenue Next 3Y25.78%
Revenue Next 5Y18.01%
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.
DKNG is valuated quite expensively with a Price/Forward Earnings ratio of 57.76.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DKNG indicates a slightly more expensive valuation: DKNG is more expensive than 61.94% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of DKNG to the average of the S&P500 Index (23.82), we can say DKNG is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 57.76 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as DKNG.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 330.13 | ||
| EV/EBITDA | N/A |
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.
DKNG's earnings are expected to grow with 53.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y63.32%
EPS Next 3Y53.01%
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 (11/21/2024, 8:22:49 PM)
Premarket: 43.5 -0.05 (-0.11%)43.55
-0.25 (-0.57%)
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 Cap21.14B
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 | 57.76 | ||
| 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 | -9.76% | ||
| ROE | -38.76% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 38.5% | ||
| 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 Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| 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)
High Growth Momentum
Growth
EPS 1Y (TTM)43.59%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y74.31%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)40.01%
Revenue growth 3Y81.36%
Revenue growth 5Y
Sales 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