Why DraftKings Shares Are Falling Today

DraftKings Inc DKNG is trading lower Friday after the company announced its third-quarter financial results.

DraftKings reported quarterly revenue of $213 million, up from $133 million year-over-year.

The company narrowed its full-year 2021 revenue from a range of $1.21 billion to $1.29 billion to a range of $1.24 billion to $1.28 billion versus the estimate of $1.29 billion.

DraftKings expects full-year 2022 revenue to be in a range of $1.7 billion to $1.9 billion versus the estimate of $1.81 billion.

During the third quarter, DraftKings launched DraftKings Marketplace, a digital collectibles ecosystem designed for mainstream accessibility that offers curated NFT drops and supports secondary-market transactions.

According to DraftKings, "Each of the drops on DraftKings Marketplace were oversubscribed, and the secondary transactions market has seen strong engagement by users seeking to collect their favorite NFTs."

“DraftKings had a strong third quarter that highlights our team’s unique ability to drive engagement with our core customers while simultaneously launching new states and verticals and completing the complex migration to our own in-house technology ahead of schedule,” said Jason Robins, co-founder and CEO of DraftKings.

Robins continued, “Since migrating, we have rapidly added innovative features and functionality to our top-ranked mobile sports betting app. We are also excited that our new growth initiatives, including DraftKings Marketplace and our content and media business, demonstrated promising early results in the quarter.”

From Yesterday: What's Going On With DraftKings Stock Today?

DKNG Price Action: DraftKings has traded as high as $74.38 and as low as $38.33 over a 52-week period.

The stock was down 4.77% at $42.55 at time of publication.

Photo: courtesy of DraftKings.