DraftKings Inc. (NASDAQ:DKNG) is one of the high growth stocks outside tech analysts are bullish on. On July 25, Susquehanna analyst Joseph Stauff raised the price target on DraftKings Inc. (NASDAQ:DKNG) to $60, up from $52, while maintaining a Positive rating. Based on the current market price of $43.80, this implies an upside potential of about 37%.
A woman at a betting table paying out customers who won their sports bets.
The firm adjusted its estimates for Q2 and the years 2025 through 2027, factoring in several key developments. These include higher tax expectations, updated second-quarter trends, timing for state launches, and the impact of Jackpocket, a digital lottery platform recently acquired by DraftKings. These adjustments reflect stronger-than-expected performance and better clarity on market expansion.
The online gambling sector had a cloud hanging over it for much of the first half of 2025 due to regulatory concerns. This started when governors in Maryland and Ohio proposed doubling online sports betting (OSB) tax rates, which created uncertainty across the industry. Despite this, DraftKings appears well-positioned to weather these changes and continue growing.
DraftKings is a leading digital sports entertainment and gaming company. It operates online sports betting, iGaming, and daily fantasy sports platforms across multiple U.S. states, offering fans a wide range of interactive gaming experiences.
While we acknowledge the potential of DKNG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure: None.
