In its upcoming report, DraftKings (DKNG) is predicted by Wall Street analysts to post quarterly loss of -$0.18 per share, reflecting an increase of 30.8% compared to the same period last year. Revenues are forecasted to be $1.39 billion, representing a year-over-year increase of 21.6%.
The consensus EPS estimate for the quarter has undergone a downward revision of 7.1% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
Bearing this in mind, let's now explore the average estimates of specific DraftKings metrics that are commonly monitored and projected by Wall Street analysts.
Based on the collective assessment of analysts, 'Revenue- Sportsbook' should arrive at $771.95 million. The estimate indicates a year-over-year change of +29.5%.
It is projected by analysts that the 'Revenue- Other' will reach $96.69 million. The estimate indicates a change of +0.1% from the prior-year quarter.
Analysts predict that the 'Revenue- iGaming' will reach $483.33 million. The estimate suggests a change of +7.1% year over year.
The consensus estimate for 'Average Revenue per MUP (ARPMUP)' stands at $108.03 . Compared to the present estimate, the company reported $106.00 in the same quarter last year.
The average prediction of analysts places 'Monthly Unique Payers (MUPs)' at 4.03 million. Compared to the present estimate, the company reported 3.60 million in the same quarter last year.
View all Key Company Metrics for DraftKings here>>>Over the past month, DraftKings shares have recorded returns of +12.5% versus the Zacks S&P 500 composite's -0.9% change. Based on its Zacks Rank #3 (Hold), DKNG will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power .
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
DraftKings Inc. (DKNG): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).