DraftKings Inc. is seeing early momentum at the start of the NFL season, with online sportsbook handle up 15 percent year-over-year during the first two weeks of play. Investment firm Stifel has responded by maintaining its buy rating and $36.00 price target on the stock, pointing to improving underlying trends despite a broader pullback in promotional spending across the sector.
Stifel Reaffirms Outlook as NFL Betting Volume Climbs
Equity analyst Jeffrey Stantial at Stifel reiterated the firm’s bullish stance on DraftKings, pointing to the 15 percent volume increase observed across the opening two weeks of the professional football calendar. That growth mirrors the company’s broader 15 percent revenue climb over the trailing twelve months, which has been sustained alongside a gross profit margin of 76 percent. DraftKings management cautioned against drawing sweeping conclusions from a compressed two-week window, noting however that underlying user metrics have strengthened compared to pre-World Cup benchmarks.
The acceleration in betting volume arrived despite a leaner promotional budget compared to the same period last year. Notably, DraftKings chose not to run its “Ghost Leg” promotion for the current campaign. Company executives attributed the healthier user activity to improved retention and cross-selling of customers acquired during the World Cup, more engaging football content, and a broader marketing halo effect that continues to lift consumer awareness even with reduced promotional outlays.
Wall Street Balances Growth Against Guidance and Cost Pressures
Analyst reaction across Wall Street reflects a mix of optimism over user acquisition and caution regarding future margins. UBS adjusted its price target down slightly to $48 from $49 while keeping a buy rating following the release of second-quarter financial results. Even with scrutiny surrounding user retention rates and promotional overhead, DraftKings continues to project full-year 2026 revenue between 6,5 milliards$ et 6,9 milliards$, alongside adjusted EBITDA guidance ranging from $700 million to $900 million.
Citizens revised its price target down to $35 from $37 while maintaining a market outperform rating, citing management commentary regarding current trends and a significant expansion in the prediction markets segment. Meanwhile, StoneX reaffirmed its buy rating with a $30 target, though increased investment in DraftKings’ predictions product led the firm to lower its 2026 adjusted EBITDA projection from $675 million to $575 million to account for elevated upfront costs.
Market Valuation and Trading Range
Shares of DraftKings traded recently at $21.16, hovering near the lower end of their 52-week range of $20.35.
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