DraftKings Inc. (DKNG) DCF Valuation
Transparent DCF models put DraftKings Inc. (DKNG)'s fair value in a range of $1.17 – $100.76 — the low end is TGM's conservative base case (5% FCF growth, 10% discount), the high end the analyst consensus (FMP). Today's price of $28.79 sits within that range — roughly fairly valued on these assumptions.
Current Price
$28.79
Fair-Value Range
$1.17 – $100.76
Market-Implied Growth
—
DKNG DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $52.7M · 0.50B shares · net debt $285.2M
Estimated Fair Value
$1.17
-95.9% vs $28.79
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $28.79; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $1.59 | $1.70 | $1.83 | $1.99 | $2.18 |
| 9.0% | $1.28 | $1.36 | $1.45 | $1.55 | $1.67 |
| 10.0% | $1.05 | $1.11 | $1.17 | $1.24 | $1.32 |
| 11.0% | $0.87 | $0.91 | $0.95 | $1.00 | $1.06 |
| 12.0% | $0.72 | $0.75 | $0.78 | $0.82 | $0.86 |
About DraftKings Inc.
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. states, all in compliance with local regulations. Beyond traditional betting, DraftKings offers its daily fantasy sports product globally in six countries, spanning 15 different sports disciplines. Further diversifying its portfolio, the company has established DraftKings Marketplace, a user-friendly digital collectibles platform featuring curated NFT releases and supporting secondary trading. It also possesses Vegas Sports Information Network (VSiN), a multi-platform content and broadcasting entity. Established in 2011, DraftKings Inc. maintains its headquarters in Boston, Massachusetts.
- Sector
- Consumer Cyclical
- Industry
- Gambling, Resorts & Casinos
- CEO
- Jason D. Robins