Jefferies has lowered its 2026 adjusted earnings forecast for DraftKings by 15%, citing increased spending on prediction markets and slower growth in online casino gaming (iGaming). The broker expects DraftKings to spend an additional $100 million on prediction markets in the latter half of 2026, raising total costs beyond initial guidance. Despite these pressures, DraftKings' sports betting business shows resilience with modest growth and a slight lead over FanDuel in US market share. Jefferies maintains a Buy rating, anticipating regulatory developments and eventual earnings growth to improve the company's outlook, with potential catalysts including prediction market regulation and further US iGaming legalization.
DraftKings faces earnings pressure as Jefferies highlights increased spending on prediction markets, yet the stock shows positive momentum. On Pluang, DraftKings (DKNG) trades at USD 19.09 with a 1-day gain of 1.01% as of Oct 16, 2026 00:21 WIB. The company holds a market cap of $9.38 billion, with investors on Pluang showing full buying interest and a typical hold time of 55 days.
