DraftKings Inc. — Gambling. Scored on the same transparent 7-signal model behind the daily rankings.
★
DKNG
DraftKings Inc. · Gambling
FCF$714mC+
Rev+27.0%A-
D/E3.17C
P/S2.1xC+
PEG0.10A
56Score
$26.29$13.0B
1Y Target$34.91Analyst consensus · 35 analysts
5Y Target$61.06Compound horizon
10Y Target$154.85Long-dated conviction
FCF$714mTTMC+
FCF $714m — respectable but not differentiating
Rev+27.0%TTM YoYA-
Revenue +27.0% — strong growth, well above S&P median (~7%)
D/E3.17C
D/E 3.17 — more levered than most Consumer Cyclical peers (≈90th pctile)
P/S2.1xC+
P/S 2.1x — above the Consumer Cyclical median (≈75th pctile)
PEG0.10A
PEG 0.10 — exceptional; paying well under fair value for growth
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Quality-growth score · 56
Quality0.41
Growth0.50
Value0.86
Why this score
Diluting shareholders
Cyclical growth
Entry · Margin of safety
52-week rangeNear 52-week low
46% off the 12-month high
vs DCF fair value19% aboveest. fair value ~$22
Quality signals · context only
Gross profitability61% · Agross profit ÷ total assets (Novy-Marx)
ROIC4.7% · C+return on invested capital — not score-weighted
Why now
Gambling · market cap $13.0b. Down 46% from 52-week high of $48.78 — deep drawdown territory. Revenue growing +27% — in hypergrowth territory. PEG 0.10 — paying under fair value for the growth rate. 35 sell-side analysts rate this a Buy with a mean 1-yr target of $34.91 (implying +33% upside).
Moat
Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong.
Risk
D/E 3.17 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Down 46% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.64 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Horizon
1-3 yr $34.91 (35-analyst consensus) — catalyst-driven; binary events dominate. 5 yr $61.06 — requires the platform / technology to reach commercial scale. 10 yr $154.85 — return distribution heavily skewed.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Position sizing · DKNG
$
%
%
Shares to buy
76
Position size
$1,998
4.0% of portfolio
Stop price
$19.72
25% below $26.29
$ at risk if stopped
$499.51
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
DraftKings Inc. (DKNG): score, valuation & FAQ
DraftKings Inc. (DKNG) is a Gambling company that scores 56 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
Its strongest graded signals are PEG (A) and Rev (A-). On valuation, DKNG sits about 19% above our discounted-cash-flow fair value (i.e. the DCF flags it as rich).
Is DKNG a good stock to buy?
Bull Rankings scores DKNG 56 out of 100 on its quality-growth model, which is a middling reading. That is driven by PEG (A) and Rev (A-). A score is a quantitative screen of DraftKings Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does DKNG score 56 on Bull Rankings?
The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). DKNG earns its highest marks on PEG (A) and Rev (A-). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.
Is DKNG overvalued or undervalued?
Based on $26.29, DKNG sits about 19% above our discounted-cash-flow fair value (i.e. the DCF flags it as rich). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in DKNG?
D/E 3.17 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Down 46% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.64 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.