🚨JUST IN: KALSHI FACES A NATIONWIDE CLASS ACTION SUIT ALLEGING IT RUNS AS AN ILLEGAL SPORTS BETTING SITE MASKED AS A PREDICTION MARKET, PER SPORTS BETTING AND GAMING ATTORNEY, DANIEL WALLACH ...

Core Viewpoint - The recent decline in shares of DraftKings Inc and Flutter Entertainment PLC is seen as unwarranted by analysts, who believe both companies have significant opportunities in the prediction markets space, estimated at $5 billion [1][3][6]. Company Analysis - DraftKings has an Outperform rating with a price target of $48, while Flutter Entertainment also holds an Outperform rating with a price target of $330 [1][2]. - The total addressable market (TAM) for DraftKings and Flutter in prediction markets is estimated at $5 billion, which includes $4.4 billion for sports prediction markets and $600 million for non-sports prediction markets [4]. - Analysts estimate that DraftKings and Flutter could achieve market shares of 14% and 16%, respectively, in prediction markets in states where online sports betting is not yet legalized [5]. Market Context - Since the end of August, DraftKings and Flutter have seen market capitalizations decrease by approximately $10 billion and $20 billion, respectively [6]. - The market is currently pricing in a worst-case scenario regarding the TAM, assuming that all states legalize online sports betting without allowing the launch of prediction markets [6]. - DraftKings shares closed at $29.44, down 1.83%, while Flutter shares closed at $191.79, down 0.79%, reflecting year-to-date declines of 18.9% and 24.7%, respectively [7][8].

Core Insights - FanDuel has launched "Pass The Leg," a multi-user parlay builder that enhances social interaction in sports betting, coinciding with Thanksgiving [1][3][4] Group Features - The feature allows users to collaboratively build a parlay by inviting friends and family to contribute picks, making it a shared experience [2][3] - Each participant can place individual bets using their own funds and benefit from a dedicated Profit Boost for the group parlay [2][4] Market Position - "Pass The Leg" is the first true multi-user parlay-building experience offered by a major U.S. sportsbook operator, catering to the demand for more interactive betting experiences [3][4] - FanDuel aims to integrate social elements into the betting experience, reflecting how fans engage in group chats and gatherings [4] Operational Details - The feature is available exclusively for the three NFL games on Thanksgiving Day, allowing a minimum of three legs and up to twenty-five total legs in a parlay [3][4] - FanDuel operates across all 50 states with approximately 17 million customers and 25 retail locations, indicating a strong market presence [5]

Core Viewpoint - The stock of DraftKings may rebound despite current challenges, with investors needing to consider the impact of prediction markets on the company's performance [1][3]. Industry Overview - Companies like Kalshi and Polymarket are gaining traction in the prediction markets space, which has raised concerns among public market investors regarding sports betting [2][4]. - The October sports wagering handle in New York reached a record $2.64 billion, indicating that bettors are not abandoning traditional sportsbooks like DraftKings for prediction markets [5]. Company Performance - DraftKings' stock has declined 15.48% over the past month and is currently 46.24% below its 52-week high [2]. - The company is facing soft fundamentals, with a 2% growth in monthly unique payors and a 4% increase in revenue for the September quarter, which are not indicative of a growth stock [8]. - DraftKings is experiencing difficulties in attracting new clients and encouraging high spending among existing customers [8]. Strategic Initiatives - DraftKings plans to enter the Missouri market for online sports betting, which will require significant marketing and customer incentives [9]. - The company has announced the acquisition of Railbird Exchange for approximately $250 million, aiming to enhance its prediction market capabilities [11]. - A potential rebound could be supported by favorable NFL outcomes and a successful launch in Missouri, along with the performance of DraftKings Predictions [12]. Financial Actions - DraftKings has expanded its buyback program from $1 billion to $2 billion, which could signal confidence to investors if shares are repurchased at lower prices [13].

What about the predictions markets. Very hot right now. Fast growing.Do you think that there's a risk that they they cannibalize force betting. >> Yeah. So, so first um >> and also are you going to get in.>> I'll give this to you first right here. Let's go. I'm giving it to you right now.We got to make sure we're launching the next couple weeks. >> Launching a fanatics prediction markets. Absolutely.>> Is this with crypto. com as rumored. >> Uh it is. it it is with Crypto.com and we're super excited about l ...

What about the predictions markets. Very hot right now. Fast growing.Do you think that there's a risk that they they cannibalize sports betting. >> Yeah. So, so first um I'll give >> and also are you gonna get in. >> I'll give this to you first right here.Let's go. I'm giving it to you right now. We got to make we're launching the next couple weeks.>> Launching a >> fanatics prediction markets. Absolutely. >> Is this with crypto.com as rumored. >> Uh it is. it it is with Crypto.com and we're super excited a ...

What about the predictions markets. Very hot right now. Fast growing.Do you think that there's a risk that they they cannibalize sports betting. >> Yeah. So, so first um I'll give >> and also are you gonna get in. >> I'll give this to you first right here.Let's go. I'm giving it to you right now. We got to make we're launching the next couple weeks.>> Launching a >> fanatics prediction markets. Absolutely. >> Is this with crypto.com as rumored. >> Uh it is. it it is with Crypto.com and we're super excited a ...

The NBA, MLB and NFL have all worked with betting companies to put restrictions on prop bets — wagers placed on a specific statistic within a game ...

We recently published 8 Stocks Jim Cramer Discussed & Mentioned An Important Quantum Computing Development. Flutter Entertainment plc (NYSE:FLUT) is one of the stocks Jim Cramer discussed. Flutter Entertainment plc (NYSE:FLUT) is one of the largest sports betting companies in the US. Cramer discussed the firm after Polymarket rang the NYSE’s opening bell. The event saw the online prediction market team up with mixed martial arts (MMA) organization UFC and entertainment firm TKO. In his previous comments a ...

Core Insights - DraftKings Inc. (DKNG) has experienced a significant decline of nearly 27.8% in its stock value over the past three months, primarily due to weaker-than-expected third-quarter 2025 results and a reduced fiscal 2025 outlook [1][7] - The broader industry has seen a decline of 5.7%, while the S&P 500 has gained 7.7% during the same period, indicating DraftKings' underperformance relative to both the industry and the market [1][7] Financial Performance - The company's third-quarter 2025 results were adversely affected by "customer-friendly" sports outcomes, which resulted in a revenue loss exceeding $300 million, leading to a negative adjusted EBITDA of $127 million [5][6] - DraftKings has revised its full-year revenue forecast to a range of $5.9 billion to $6.1 billion, down from the previous range of $6.2 billion to $6.4 billion [5][9] - The adjusted EBITDA projection for fiscal 2025 has been slashed from $800 million to $900 million down to $450 million to $550 million, reflecting a significant downgrade in profitability expectations [9] Strategic Initiatives - The company is increasing spending on new initiatives, including a predictions product and media partnerships, which has raised investor concerns about short-term financial performance [6][9] - DraftKings is preparing to launch a Spanish-language sportsbook interface ahead of the 2026 World Cup, targeting a growing demographic segment [15] Market Positioning - Despite recent setbacks, DraftKings maintains strong underlying customer metrics, with Monthly Unique Players growing by 6% and sportsbook handle rising by 10% to $11.4 billion [12][13] - The company has secured exclusive marketing partnerships with ESPN and NBCUniversal, which are expected to enhance brand reach and customer retention [14] Valuation - DraftKings is currently valued at a discount compared to the industry, with a forward 12-month price-to-sales ratio of 2.18, lower than the industry average [17]