DraftKings Stock Can Overcome 'Wall Of Worry Around Various Regulatory Risks' Analyst Says: Sizing Up Illinois Taxes, Jackpocket Acquisition
Portfolio Pulse from Chris Katje
Goldman Sachs analyst Ben Miller has a Buy rating and $60 price target on DraftKings Inc (NASDAQ:DKNG), despite regulatory risks and increased state taxes in Illinois. The acquisition of Jackpocket is seen as a positive, with significant revenue and EBITDA growth expected in the coming years.
June 13, 2024 | 4:15 pm
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Goldman Sachs analyst Ben Miller maintains a Buy rating on DraftKings with a $60 price target. The analyst is optimistic about the Jackpocket acquisition and its potential to drive revenue and EBITDA growth, despite regulatory risks and increased taxes in Illinois.
The analyst's positive outlook and high price target suggest confidence in DraftKings' ability to overcome regulatory risks and benefit from the Jackpocket acquisition. The expected revenue and EBITDA growth from Jackpocket and the potential for strong cross-sell opportunities are significant positives. However, increased taxes in Illinois and potential similar actions in other states pose short-term headwinds.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100