DraftKings Stock: The Key Catalyst In Sports Betting
Sports betting and daily fantasy sports juggernaut DraftKings has seen plenty of growth over the last few years. The company has a $12.15 billion market cap with a $25.80 52-week low and a $74.38 52-week high.
Sports betting has taken a massive step forward in recent years. It’s currently legal in 36 states. Five other states have legalized sports betting, but it isn’t operational yet. Overall, only 16 states have no sports betting legislation at the moment.
With this billion-dollar industry becoming more widely available in the United States, does DraftKings stock (DKNG) have long-term opportunity?
Sports betting is a multi-billion dollar industry that’s continuing to grow at a rapid pace. States are offering different types of sports betting, including in-person only, online-only, and a mix of both. As the industry continues to gain legalization, states will likely work toward offering both in-person and online options to place bets.
There are currently 36 states that have live, legal sports betting available. Several passed their legislation throughout 2020 and 2021. Nebraska, Wisconsin, Maryland, and Florida have legal sports betting, although it isn’t operational at the moment. Ohio and Massachusetts also have active or pre-filed legislation. There are only 5 states with no legislation and 11 states with dead legislation at this point. However, sports betting will take its next big step forward once it becomes legal in California and Texas, as a massive influx of new users can join sportsbooks.
DraftKings is already a well-known leader in the sports betting industry. They’ve been one of the fastest-growing sportsbooks over the last few years. DraftKings attracts new users with an easy-to-use interface, a wide variety of betting options, and consistent promotions on their app. They have continued to grow in part because of their willingness to give new users free bets.
They’re a company that has built a high-end brand that’s easily recognizable in this space. They have a massive market share of an industry that is continuing to grow at a rapid rate. DraftKings is in a great position to corner more of the market moving forward.