
Fantasy sports and betting company DraftKings (NASDAQ: DKNG) will be reporting earnings tomorrow after the bell. Hereโs what investors should know.
DraftKings missed analystsโ revenue expectations by 1.7% last quarter, reporting revenues of $1.10 billion, up 38.7% year on year. It was a strong quarter for the company, with a solid beat of analystsโ EPS estimates and an impressive beat of analystsโ adjusted operating income estimates. It reported 3.6 million users, up 56.5% year on year.
Is DraftKings a buy or sell going into earnings? Read our full analysis here, itโs free.
This quarter, analysts are expecting DraftKingsโs revenue to grow 14.7% year on year to $1.41 billion, slowing from the 43.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.04 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. DraftKings has missed Wall Streetโs revenue estimates six times over the last two years.
Looking at DraftKingsโs peers in the consumer discretionary segment, some have already reported their Q4 results, giving us a hint as to what we can expect. VF Corp delivered year-on-year revenue growth of 1.9%, beating analystsโ expectations by 1.2%, and FOX reported revenues up 19.9%, topping estimates by 5%. VF Corp traded up 1.4% following the results while FOX was also up 5%.
Read our full analysis of VF Corpโs results here and FOXโs results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 2.7% on average over the last month. DraftKings is up 9.7% during the same time and is heading into earnings with an average analyst price target of $51.64 (compared to the current share price of $43.69).
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