DraftKings (DKNG): analysis in plain words
Is DraftKings cheap or expensive? How it makes money, whether it grows and its risks, explained in plain words and with its official accounts.
DraftKings (DKNG) is listed on the Nasdaq and we classify it in travel, leisure and gaming. Below are its key dated figures, how it makes money, how it compares with its sector, what works for and against DraftKings according to those figures, and the questions people ask most about the stock. No buy or sell tips.
DraftKings (DKNG) key figures as of November 4, 2026
| Figure | Value | What it measures |
|---|---|---|
| Share price | $23.11 | Last price on November 4, 2026 |
| P/E ratio (TTM) | N/A | Price over earnings per share |
| Revenue growth | -4.6% | Latest quarter vs the same quarter a year earlier |
| Net margin (TTM) | -2.7% | Profit for every 100 of sales |
| Net debt / EBITDA | 7.6x | Years of operating profit to repay debt |
| Dividend yield | 0.00% | Annual dividend over price |
| Market cap | $11.5 billion | What the stock market values it at |
The DraftKings figures come from Yahoo Finance, the same source the Fintols analysis uses, retrieved on November 4, 2026. Any DKNG figure that is not available shows as N/A: we do not estimate it.
How DraftKings makes money
DraftKings makes money from online sports betting, its largest business, and online casino games, keeping the difference between what players wager and what it pays out. It also sells lottery tickets online through Jackpocket and runs fantasy sports contests. It operates in US states where it is legal and in Ontario, Canada.
Over the last 12 months, DraftKings brought in revenue of $6.2 billion. For every 100 it sells, DraftKings keeps 76.1 after the direct cost of what it sells (gross margin) and -4.7 after all operating costs (operating margin). With 5,500 full-time employees, that is about $1 million of revenue per employee.
DraftKings against its sector
To know whether a DraftKings figure is high or low you have to put it next to similar companies. This table compares DraftKings with the median of the 13 travel, leisure and gaming companies Fintols covers, with data as of November 4, 2026.
| Figure | DraftKings | travel, leisure and gaming median |
|---|---|---|
| Revenue growth | -4.6% | +8.8% (14) |
| Net margin | -2.7% | 11.6% (14) |
| Dividend yield | 0.00% | 1.31% (14) |
| Net debt / EBITDA | 7.6x | 2.8x (14) |
In short, against the typical travel, leisure and gaming company, DraftKings grows more slowly, earns a thinner margin and pays a lower dividend yield. By size, DraftKings ranks number 11 of 11 travel, leisure and gaming companies quoted in USD on Fintols.
The bull case for DraftKings
What works in favour of DraftKings, according to its figures as of November 4, 2026:
- DraftKings generates real cash: $462 million of free cash flow over 12 months, 4.0% of its stock market value.
The main risk for DraftKings
Debt is heavy: DraftKings carries net debt equal to 7.6x its annual EBITDA. With high interest rates or a weak year, interest payments eat into what it can invest or pay out.
On top of that: draftKings is losing money: its net margin over the last 12 months is -2.7%, so it spends more than it brings in. Until it turns a profit it relies on its cash or on raising money.
And, like the rest of travel, leisure and gaming, DraftKings is exposed to people travelling and spending less on leisure if the economy worsens, plus fuel prices.
Frequently asked questions about DraftKings
Is it a good time to buy DraftKings stock?
Fintols does not tell you whether to buy or sell DraftKings, and nobody knows what the price will do tomorrow. What we can show you is where it stands today. As of November 4, 2026, DraftKings stock trades at $23.11, 38% below its 52-week high ($36.98) and 26% above its low ($18.35). With DraftKings, as with any stock, timing matters less than understanding the business, investing for the long run and not betting everything on a single company.
Does DraftKings pay a dividend?
No. As of November 4, 2026, DraftKings does not pay a dividend: what it earns stays in the company to grow, invest or, where it does so, buy back shares. Anyone buying DraftKings today is counting on the share price rising, not on income.
Is DraftKings stock expensive?
DraftKings has no meaningful P/E as of November 4, 2026 because its last 12 months of earnings are negative or close to zero, so that yardstick cannot tell you whether it is expensive. Including its debt, DraftKings is valued at 96.2x its EBITDA (EV/EBITDA). A high P/E alone does not make DraftKings expensive: it can be justified if earnings grow fast, and a low one can reflect a business in trouble.
Who are DraftKings's competitors?
On Fintols we compare DraftKings with Southwest Airlines, Las Vegas Sands and IAG, which are also in travel, leisure and gaming. As of November 4, 2026, Southwest Airlines is worth $22.7 billion and trades on a P/E of 22.6; Las Vegas Sands is worth $26.4 billion and trades on a P/E of 16.7; IAG is worth €22.7 billion and trades on a P/E of 7.9. Each has a side-by-side comparison with DraftKings below.
DraftKings competitors
- Southwest Airlines (LUV) analysis · DraftKings vs Southwest Airlines comparison
- Las Vegas Sands (LVS) analysis · DraftKings vs Las Vegas Sands comparison
- IAG (IAG) analysis · DraftKings vs IAG comparison
To understand DraftKings better
- How to Read a Balance Sheet: A Beginner's Guide
- 7 Common Beginner Investing Mistakes (and How to Avoid Them)
More companies like DraftKings: travel, leisure and gaming stocks. Open the full DKNG analysis with its valuation and scenarios. Educational content about DraftKings, not investment advice.