arriving this summer<\/a>.<\/p>\nThe consensus is that the first legal sports bets in Lousiana will be placed in early 2022, as policymakers there use the 2021 legislative session to debate sports wagering tax issues.<\/p>\n
Arizona and Texas could provide significant catalysts for DraftKings stock, because those fast-growing states have previously been reluctant to embrace sports betting. However, the idea is gaining momentum in the Lone Star State.<\/strong><\/p>\nPathway to Profitability<\/h2>\n
Adding fuel to the DraftKings fire today are comments from Allen regarding revenue and profitability. The analyst estimates the operator’s fourth-quarter revenue will come in 10 percent above consensus forecasts, and that 2022 through 2025 turnover will be 25 percent higher than Street estimates. The company is projected to post December quarter revenue of $231.8 million.<\/p>\n
\u201cWe also expect DraftKings to start to talk about profitability in New Jersey, as FanDuel did, countering the beat thesis that the industry will never be profitable,\u201d<\/strong> said Allen.<\/p>\nThat’s important, not only because the Garden State is the largest sports betting market in the country, but also because, if true, it shows DraftKings can acquire and retain customers without losing money, even if it’s in just one market for the time being.<\/p>\n
The overall expectation is that the company will turn profitable in 2023, though some analysts say it’s possible next year.<\/p>\n","protected":false},"excerpt":{"rendered":"
DraftKings (NASDAQ:DKNG) stock got a jolt today, with Morgan Stanley analyst Thomas Allen upgrading the sportsbook operator based on a potential spate of state-level legalization this year. The widely followed gaming analyst lifted his grade on DraftKings to \u201coverweight\u201d from \u201cequal weight.\u201d He boosted his price target on the name to $60 from $39. Likely […]<\/p>\n","protected":false},"author":46,"featured_media":161898,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[10,1074],"tags":[],"acf":[],"yoast_head":"\n
DraftKings Stock Jumps on Morgan Stanley Upgrade<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n