DraftKings Inc. · DKNG · FY2025 Q3 · Calendar Q4 2025

DraftKings pairs new growth products with lower FY2025 guidance

The call provides evidence for resilient demand through sportsbook handle growth, iGaming momentum and planned product expansion, but the lower guidance and volatility risks make the longer-term growth case dependent on execution and sustainable economics.

Reported After market closeNASDAQConsumer Cyclical $9.80B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $-0.26 Consensus $-0.43
EPS surprise +39.7% Reported versus consensus
Reported revenue $1.14B Consensus $1.20B
Revenue surprise -5.0% Reported versus consensus

Market reaction

event-close to next-session close
Stock move +8.6% Event window
SPY move +0.1% Same window
Abnormal move +8.6% Stock minus SPY
Volume 2.3× Versus trailing sessions
Subsequent drift +17.0% Up to 20 sessions
DKNGSPY benchmark

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Transcript intelligence

What changed

Compared with the prior-quarter analysis, the focus shifted from maintained guidance and Missouri expansion to lowered FY2025 guidance, a planned Predictions rollout, a Spanish-language app and a larger share-repurchase authorization.

Guidance delta

Management lowered FY2025 revenue and EBITDA guidance; the call analysis still describes expected revenue growth of 24–28% year over year.

Key takeaways

  • Management highlighted a 13% increase in NFL handle, 19% NBA handle growth and 25% iGaming revenue growth in the quarter.
  • DraftKings plans to roll out its Predictions product and a Spanish-language betting app ahead of the 2026 World Cup.
  • The company expanded its share-repurchase authorization while investing in AI, product upgrades and modest capex.

Management priorities

  • Expand Sportsbook and iGaming through new state launches
  • Roll out DraftKings Predictions and the Spanish-language app
  • Use ESPN and NBCUniversal partnerships for customer acquisition
  • Invest in AI, product and technology upgrades

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Earnings History

Estimate Beat Miss Match
DKNG EPS earnings history estimate and actual scatter chart 9 reported fiscal quarters and 3 future estimate-only quarters. Q4 '23 estimate $0.06 Q4 '23 actual $-0.10, miss Q1 '24 estimate $-0.29 Q1 '24 actual $-0.30, miss Q2 '24 estimate $0.01 Q2 '24 actual $0.12, beat Q3 '24 estimate $-0.42 Q3 '24 actual $-0.60, miss Q2 '25 estimate $0.15 Q2 '25 actual $0.38, beat Q3 '25 estimate $-0.43 Q3 '25 actual $-0.26, beat Q4 '25 estimate $0.36 Q4 '25 actual $0.36, match Q1 '26 estimate $0.22 Q1 '26 actual $0.20, miss Q2 '26 estimate $0.02 Q2 '26 actual $-0.14, miss Q3 '26 estimate $-0.35 Q4 '26 estimate $0.46 Q1 '27 estimate $0.16
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Analyst Consensus ?

ConsensusBuy48 ratings
Bullish3675.0%
Neutral816.7%
Bearish48.3%

Analyst 52W Price Targets

$19.75Current
$15Low
$42.47Average
$105High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Oct 7, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
B of A Securities Buy NeutralUpgradeOct 5, 2026
BTIG Buy BuyMaintainOct 1, 2026
Citizens Market Outperform Market OutperformMaintainSep 24, 2026
UBS Buy BuyMaintainSep 18, 2026
Needham Buy BuyMaintainSep 18, 2026
Show 43 more rating actions

Named analyst price targets

Upside is calculated against the persisted current price $19.75. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
UBSRobin Farley$48$22.58 +143.0%Sep 18, 2026
BernsteinIan Moore$29$24.21 +46.8%Sep 3, 2026
Wolfe ResearchAnalyst unavailable$40$23.44 +102.5%Sep 2, 2026
CBREAnalyst unavailable$27$25.03 +36.7%Aug 21, 2026
Truist FinancialBarry Jonas$29$24.85 +46.8%Aug 10, 2026
See 169 more

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Company context

Snapshot as of publication

DraftKings Inc. operates as a leading digital enterprise specializing in sports entertainment and gaming. The company provides sophisticated multi-channel sports betting and gaming technology solutions to operators across 17 countries, facilitating diverse entertainment experiences. Directly, DraftKings manages its own iGaming services under the DraftKings brand in five U.S. states, and separately operates Golden Nugget Online Gaming, another iGaming offering, in three states. Its Sportsbook platform is accessible for both mobile and physical wagers in 18 U.S.…

Historical context

All DKNG earnings

Consumer Cyclical peers this season

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Latest beats and misses

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Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
  3. Polygon adjusted daily market bars · 2026-10-07T03:00:41.587680+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-07T03:00:41.584757+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-07. For educational purposes only; not investment advice.