Topic: How To Invest

Power Growth Investor Hotline – Friday, February 23, 2024

Article Excerpt

DRAFTKINGS INC., $41.28, is still a buy. The digital sports entertainment and gaming company (symbol DKNG on Nasdaq) currently provides sports betting in several U.S. states: Arizona, Colorado, Connecticut, Illinois, Indiana, Iowa, Louisiana, Michigan, Mississippi, New Hampshire, New Jersey, New York, Oregon, Pennsylvania, Tennessee, Virginia, West Virginia, Wyoming, Ohio, Kentucky, Vermont and Massachusetts. As well, the company has launched its online sports book and online casino products in Ontario. DraftKings has now reached an agreement to acquire Jackpocket, the leading lottery app in the U.S., for $750 million. The acquisition will let DraftKings expand into the massive U.S. lottery industry—and also strengthen its position in Sportsbook and iGaming through cross-selling those service to its new lottery customers. Going forward, the company should remain the dominant player in the expanding U.S. sports-betting market, and it has lots of room to expand as more U.S. states legalize online sports betting. DraftKings holds $1.1 billion in cash to help it continue to prosper, and the company’s online business…