DraftKings and Penn Entertainment Are Climbing Today: Is the Sports Betting Sector Turning a Corner?
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DraftKings and Penn Entertainment Are Climbing Today: Is the Sports Betting Sector Turning a Corner?
"DraftKings posted Q4 2025 revenue of $1.99 billion, up 42.8% year-over-year, and adjusted EPS of $0.36 against a consensus estimate of $0.18."
"The stock fell after that report anyway. Investors focused on 2026 guidance of $6.5 billion to $6.9 billion in revenue and $700 million to $900 million in adjusted EBITDA."
"DraftKings recently expanded its share buyback program, a signal that the board sees the current price as a discount."
"The company repurchased $571.5 million worth of shares during fiscal year 2025."
DraftKings and Penn Entertainment stocks increased by 5% and 7% respectively, driven by positive market sentiment following comments from President Trump. Both companies have faced declines this year, with DraftKings down 31% and Penn down 7%. DraftKings reported strong Q4 2025 revenue growth of 42.8% year-over-year and achieved its first full-year GAAP net income. Despite a cautious 2026 revenue guidance, management's share buyback program indicates confidence in the stock's value, suggesting a potential recovery in the sports betting sector.
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