DraftKings Secures Sports Betting License in Arkansas
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
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Should l Buy DKNG?
Source: Businesswire
- Market Access Expansion: DraftKings has received licensure from the Arkansas Racing Commission, allowing it to launch its top-rated online sportsbook at Southland Casino Hotel, which will reach over 2 million adult residents and increase its U.S. market coverage to 53%.
- Innovative Betting Experience: The new platform will feature a wide range of betting options, including same-game parlays, in-game wagering, and special odds boosts, aimed at attracting more users and enhancing customer satisfaction while solidifying DraftKings' position in the competitive online betting market.
- Responsible Gaming Tools: DraftKings offers a comprehensive suite of responsible gaming tools, such as My Stat Sheet and My Budget Builder, which help users track their gaming activities and set custom limits, reflecting the company's commitment to user safety and responsible gaming practices.
- Strategic Market Positioning: Arkansas marks the 30th U.S. state where DraftKings operates, indicating the company's ongoing expansion in the North American market, which is expected to drive significant user growth and revenue increases, especially with major sports events like March Madness approaching.
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Analyst Views on DKNG
Wall Street analysts forecast DKNG stock price to rise
29 Analyst Rating
23 Buy
6 Hold
0 Sell
Strong Buy
Current: 22.940
Low
30.00
Averages
42.69
High
53.00
Current: 22.940
Low
30.00
Averages
42.69
High
53.00
About DKNG
DraftKings Inc. is a digital sports entertainment and gaming company. It provides users with online and retail sports betting (together, Sportsbook), online casino (iGaming) and daily fantasy sports product offerings, as well as digital lottery courier, media, and other product offerings. Sportsbook is live with mobile and/or retail sports betting operations pursuant to regulations in 28 states, Washington, D.C., and in Ontario, Canada. It operates iGaming pursuant to regulations in five states and in Ontario, Canada under its DraftKings brand and pursuant to regulations in four states under its Golden Nugget Online Gaming brand. It owns Jackpocket, a digital lottery courier app in the United States. It is both an official daily fantasy and sports betting partner of the NFL, NHL, PGA TOUR, WNBA and UFC, as well as an official daily fantasy partner of NASCAR, an official sports betting partner of the NBA. It also owns and operates DraftKings Network, a multi-platform content ecosystem.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
DraftKings Secures Sports Betting License in Arkansas
- Market Access Expansion: DraftKings has received licensure from the Arkansas Racing Commission, allowing it to launch its top-rated online sportsbook at Southland Casino Hotel, which will reach over 2 million adult residents and increase its U.S. market coverage to 53%.
- Innovative Betting Experience: The new platform will feature a wide range of betting options, including same-game parlays, in-game wagering, and special odds boosts, aimed at attracting more users and enhancing customer satisfaction while solidifying DraftKings' position in the competitive online betting market.
- Responsible Gaming Tools: DraftKings offers a comprehensive suite of responsible gaming tools, such as My Stat Sheet and My Budget Builder, which help users track their gaming activities and set custom limits, reflecting the company's commitment to user safety and responsible gaming practices.
- Strategic Market Positioning: Arkansas marks the 30th U.S. state where DraftKings operates, indicating the company's ongoing expansion in the North American market, which is expected to drive significant user growth and revenue increases, especially with major sports events like March Madness approaching.
See More
DraftKings Secures License to Enter Arkansas Market
- Market Access Agreement: DraftKings has signed a market access agreement with Southland Casino Hotel, receiving approval from the Arkansas Racing Commission, which paves the way for the launch of its online sportsbook, expected to reach over 2 million adult residents and expand its influence in the U.S. market.
- Enhanced User Experience: Customers in Arkansas will gain access to DraftKings' top-rated online sportsbook, featuring a variety of betting options including same-game parlays and in-game wagering, which is anticipated to attract more users and enhance customer satisfaction.
- Responsible Gaming Tools: DraftKings offers a comprehensive suite of responsible gaming tools, such as My Stat Sheet and My Budget Builder, which help users track their gaming activity and set budgets, reflecting the company's commitment to responsible gaming and enhancing its brand image.
- Market Expansion Strategy: Arkansas will mark the 30th U.S. state where DraftKings operates, further solidifying its leadership position in the North American market while providing a strategic opportunity for upcoming sports events like March Madness.
See More
2026 Growth Stock Analysis: DraftKings and Booking Holdings
- DraftKings Profit Milestone: DraftKings achieved GAAP profitability for the first time in Q4 2022, despite a 37% stock price drop for the year, with a 43% year-over-year revenue increase indicating strong market potential and a rebound expected in 2026.
- Prediction Market Opportunity: Entering the prediction markets, DraftKings' CEO highlighted it as a 'massive incremental opportunity,' projecting hundreds of millions in annual revenue in the coming years, further solidifying its leadership in the online betting market.
- Booking Holdings Financial Performance: Booking Holdings reported a 16% increase in bookings and overall revenue in Q4, while reducing expenses led to a 34% net income increase and a net income margin rise to 22.5%, showcasing its strong competitive position in the travel industry.
- Stock Split Catalyst: The recently announced 25-for-1 stock split will reduce Booking's share price from around $4,000 to approximately $160-165, making it more accessible to investors and likely to drive short-term price increases, with analysts optimistic about its long-term outlook.
See More
Growth Stocks to Watch for 2026
- DraftKings Profit Milestone: DraftKings (NASDAQ: DKNG) achieved GAAP profitability for the first time in Q4 2022, despite a 37% stock price drop for the year, with a 43% year-over-year revenue increase indicating strong market potential, setting the stage for a rebound in 2026.
- Prediction Market Opportunity: Entering the prediction market business, DraftKings' CEO highlighted it as a “massive incremental opportunity,” targeting “hundreds of millions” in annual revenue in the coming years, and with new marketing partnerships with ESPN and Universal, revenue growth is expected in states like Texas, California, and Florida.
- Booking Holdings Financial Performance: Booking Holdings (NASDAQ: BKNG) posted a 16% increase in bookings and overall revenue in Q4, with net income rising by 34% and free cash flow by 120%, showcasing its strong competitive position in the online travel market.
- Stock Split Catalyst: The recently announced 25-for-1 stock split will reduce Booking's share price from around $4,000 to approximately $160-$165, making it more accessible to investors, and analysts project a pre-split target price of $5,917, indicating a potential 53% return.
See More
DraftKings Class Action Lawsuit Advances
- Lawsuit Progression: The class action lawsuit against DraftKings, filed in April 2024, has seen a Massachusetts Superior Court ruling that largely denies DraftKings' motion for Summary Judgment, marking the first false advertising lawsuit to survive this stage and allowing the case to proceed to class certification and trial.
- Advertising Controversy: The lawsuit challenges DraftKings' advertised '$1,000 Deposit Bonus' for new sportsbook customers, with plaintiffs alleging that the company failed to adequately disclose the terms and conditions necessary to obtain the advertised bonus, potentially misleading customers.
- Market Expansion: DraftKings is expanding its online sportsbook operations globally, with plans to launch in Puerto Rico on February 23, 2026, thereby increasing its user base despite facing legal challenges that could impact its growth trajectory.
- Stock Market Reaction: Despite DraftKings' significant presence in the sports betting market, its shares have fallen nearly 52% over the past year, indicating bearish sentiment among investors, particularly in light of ongoing litigation and intensifying market competition.
See More
DraftKings Restructuring to Enhance Profitability Amid Growth Slowdown
- Layoff Plans: DraftKings is moving forward with a restructuring that may involve workforce reductions of 2% to 15%, aimed at lowering operating costs and improving net income margins in response to slowing market growth.
- Revenue Growth Slowdown: Although DraftKings reported a 27% year-over-year revenue increase to approximately $6.05 billion last year, sales growth is decelerating due to a lack of legalization in new markets and market saturation, with a 2026 sales target of $6.5 billion to $6.9 billion, suggesting an annual growth rate of about 11%.
- Market Performance Outlook: Citizens maintains a market-outperform rating on DraftKings with a one-year price target of $38 per share, implying a potential upside of approximately 72%, reflecting market confidence in its future profitability.
- Profitability Shift: DraftKings achieved positive net income last year and plans to focus on profitability over sales expansion this year, with non-GAAP EBITDA projected to reach $6.5 billion to $6.9 billion, a significant increase from $620 million last year, potentially driving a rebound in stock price.
See More
DraftKings Secures Sports Betting License in Arkansas
- Market Access Expansion: DraftKings has received licensure from the Arkansas Racing Commission, allowing it to launch its top-rated online sportsbook at Southland Casino Hotel, which will reach over 2 million adult residents and increase its U.S. market coverage to 53%.
- Innovative Betting Experience: The new platform will feature a wide range of betting options, including same-game parlays, in-game wagering, and special odds boosts, aimed at attracting more users and enhancing customer satisfaction while solidifying DraftKings' position in the competitive online betting market.
- Responsible Gaming Tools: DraftKings offers a comprehensive suite of responsible gaming tools, such as My Stat Sheet and My Budget Builder, which help users track their gaming activities and set custom limits, reflecting the company's commitment to user safety and responsible gaming practices.
- Strategic Market Positioning: Arkansas marks the 30th U.S. state where DraftKings operates, indicating the company's ongoing expansion in the North American market, which is expected to drive significant user growth and revenue increases, especially with major sports events like March Madness approaching.
See More
DraftKings Secures License to Enter Arkansas Market
- Market Access Agreement: DraftKings has signed a market access agreement with Southland Casino Hotel, receiving approval from the Arkansas Racing Commission, which paves the way for the launch of its online sportsbook, expected to reach over 2 million adult residents and expand its influence in the U.S. market.
- Enhanced User Experience: Customers in Arkansas will gain access to DraftKings' top-rated online sportsbook, featuring a variety of betting options including same-game parlays and in-game wagering, which is anticipated to attract more users and enhance customer satisfaction.
- Responsible Gaming Tools: DraftKings offers a comprehensive suite of responsible gaming tools, such as My Stat Sheet and My Budget Builder, which help users track their gaming activity and set budgets, reflecting the company's commitment to responsible gaming and enhancing its brand image.
- Market Expansion Strategy: Arkansas will mark the 30th U.S. state where DraftKings operates, further solidifying its leadership position in the North American market while providing a strategic opportunity for upcoming sports events like March Madness.
See More
2026 Growth Stock Analysis: DraftKings and Booking Holdings
- DraftKings Profit Milestone: DraftKings achieved GAAP profitability for the first time in Q4 2022, despite a 37% stock price drop for the year, with a 43% year-over-year revenue increase indicating strong market potential and a rebound expected in 2026.
- Prediction Market Opportunity: Entering the prediction markets, DraftKings' CEO highlighted it as a 'massive incremental opportunity,' projecting hundreds of millions in annual revenue in the coming years, further solidifying its leadership in the online betting market.
- Booking Holdings Financial Performance: Booking Holdings reported a 16% increase in bookings and overall revenue in Q4, while reducing expenses led to a 34% net income increase and a net income margin rise to 22.5%, showcasing its strong competitive position in the travel industry.
- Stock Split Catalyst: The recently announced 25-for-1 stock split will reduce Booking's share price from around $4,000 to approximately $160-165, making it more accessible to investors and likely to drive short-term price increases, with analysts optimistic about its long-term outlook.
See More
Growth Stocks to Watch for 2026
- DraftKings Profit Milestone: DraftKings (NASDAQ: DKNG) achieved GAAP profitability for the first time in Q4 2022, despite a 37% stock price drop for the year, with a 43% year-over-year revenue increase indicating strong market potential, setting the stage for a rebound in 2026.
- Prediction Market Opportunity: Entering the prediction market business, DraftKings' CEO highlighted it as a “massive incremental opportunity,” targeting “hundreds of millions” in annual revenue in the coming years, and with new marketing partnerships with ESPN and Universal, revenue growth is expected in states like Texas, California, and Florida.
- Booking Holdings Financial Performance: Booking Holdings (NASDAQ: BKNG) posted a 16% increase in bookings and overall revenue in Q4, with net income rising by 34% and free cash flow by 120%, showcasing its strong competitive position in the online travel market.
- Stock Split Catalyst: The recently announced 25-for-1 stock split will reduce Booking's share price from around $4,000 to approximately $160-$165, making it more accessible to investors, and analysts project a pre-split target price of $5,917, indicating a potential 53% return.
See More
DraftKings Class Action Lawsuit Advances
- Lawsuit Progression: The class action lawsuit against DraftKings, filed in April 2024, has seen a Massachusetts Superior Court ruling that largely denies DraftKings' motion for Summary Judgment, marking the first false advertising lawsuit to survive this stage and allowing the case to proceed to class certification and trial.
- Advertising Controversy: The lawsuit challenges DraftKings' advertised '$1,000 Deposit Bonus' for new sportsbook customers, with plaintiffs alleging that the company failed to adequately disclose the terms and conditions necessary to obtain the advertised bonus, potentially misleading customers.
- Market Expansion: DraftKings is expanding its online sportsbook operations globally, with plans to launch in Puerto Rico on February 23, 2026, thereby increasing its user base despite facing legal challenges that could impact its growth trajectory.
- Stock Market Reaction: Despite DraftKings' significant presence in the sports betting market, its shares have fallen nearly 52% over the past year, indicating bearish sentiment among investors, particularly in light of ongoing litigation and intensifying market competition.
See More
DraftKings Restructuring to Enhance Profitability Amid Growth Slowdown
- Layoff Plans: DraftKings is moving forward with a restructuring that may involve workforce reductions of 2% to 15%, aimed at lowering operating costs and improving net income margins in response to slowing market growth.
- Revenue Growth Slowdown: Although DraftKings reported a 27% year-over-year revenue increase to approximately $6.05 billion last year, sales growth is decelerating due to a lack of legalization in new markets and market saturation, with a 2026 sales target of $6.5 billion to $6.9 billion, suggesting an annual growth rate of about 11%.
- Market Performance Outlook: Citizens maintains a market-outperform rating on DraftKings with a one-year price target of $38 per share, implying a potential upside of approximately 72%, reflecting market confidence in its future profitability.
- Profitability Shift: DraftKings achieved positive net income last year and plans to focus on profitability over sales expansion this year, with non-GAAP EBITDA projected to reach $6.5 billion to $6.9 billion, a significant increase from $620 million last year, potentially driving a rebound in stock price.
See More
