Value
7.2/10data confidence 83%| Component | Sub-score |
|---|---|
| P/S | 9.0 |
| EV/EBITDA | 0.0 |
| Fwd P/E | 8.1 |
| PEG | 10.0 |
| Analyst target | 9.0 |
- ▸Forward P/E: 14.6x
- ▸PEG: 0.09
- ▸Attractively valued
DKNG · Why this verdict
Why DraftKings (DKNG) is rated SELL
Updated
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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VerdictSELL
Overall score5.1/10
ConfidenceHIGH
MacroRISK_OFF
Per-dimension breakdown
Quality
4.6/10data confidence 100%| Component | Sub-score |
|---|---|
| ROE | 2.6 |
| ROA | 0.5 |
| Gross margin | 10.0 |
| Op margin | 0.1 |
| Net margin | 0.5 |
| Current ratio | 4.1 |
| FCF quality | 10.0 |
| Moat | 6.4 |
| Rule of 40 | 5.5 |
| Piotroski F | 6.7 |
- ▸Excellent cash conversion: 1000% FCF/NI
Growth
6.7/10data confidence 33%| Component | Sub-score |
|---|---|
| Rev growth | 6.7 |
Momentum
2.7/10data confidence 100%| Component | Sub-score |
|---|---|
| RSI | 4.5 |
| MACD | 3.1 |
| OBV | 1.0 |
| MA position | 3.0 |
| Volume | 1.7 |
- ▸Volume distribution (falling OBV)
- ▸Below 200-MA, MA slope -8.7%/30d — confirmed downtrend
Sentiment
7.8/10data confidence 100%| Component | Sub-score |
|---|---|
| LLM sentiment | 6.7 |
| Analyst rating | 7.5 |
| Price target | 9.2 |
- ▸LLM news sentiment: +0.34 (n=6)
- ▸Analyst upside: 40%
Insider
3.4/10data confidence 75%| Component | Sub-score |
|---|---|
| materiality | 3.0 |
| insider conviction | 2.0 |
| holder change | 5.1 |
- ▸Notable insider selling — $13,144,962 (0.106% of mkt cap)
Peer rank
3.1/10data confidence 80%| Component | Sub-score |
|---|---|
| value rank | 2.5 |
| quality rank | 1.7 |
| growth rank | 3.3 |
Technical
4.3/10data confidence 100%| Component | Sub-score |
|---|---|
| bollinger | 5.7 |
| support resistance | 6.2 |
| 52w position | 0.2 |
| gap | 5.0 |
Risk (lower is worse)
4.2/10data confidence 100%| Component | Sub-score |
|---|---|
| short interest | 6.0 |
| days to cover | 7.6 |
| volatility | 0.1 |
| put call | 7.0 |
| implied vol | 2.1 |
| beta | 4.5 |
| debt equity | 1.8 |
- ▸High IV: 67%
Catalyst
4.2/10data confidence 100%| Component | Sub-score |
|---|---|
| erm | 5.0 |
| earnings history | 1.1 |
| earnings timing | 5.0 |
| surprise avg | 2.0 |
| news activity | 8.0 |
- ▸Earnings concerns: 1B/2M
How the verdict was assembled
Engine trigger
Multiple concerning factors. Consider reducing position.
Engine technical detail
verdict_path:
L4:PATH_F_SELLPassed (7)
- ASYMMETRY:2.9>=1.5
- INSIDER:OK
- 8K:CLEAN
- NEWS_BOOST:ANALYST:0.60
- EARNINGS_PROXIMITY:59d clear
- SEMI_CYCLE_PEAK:CLEAR
- MATERIALS_CYCLE_PEAK:CLEAR
Failed (2)
- MOMENTUM:2.7<4.5
- DEATH_CROSS:HARD_BLOCK
Warning (0)
none
Reward-to-Risk
2.90
Upside
+28.7%
Downside
9.9%
Sizing output
AVOID
SetupRANGE_BOUND — RSI 50 mid-range, Bollinger mid-band
EdgeNO_EDGE — No clear edge identified
SuitabilityAGGRESSIVE — Beta 1.65>1.3
Investment implication
The F-path SELL output reflects an overall score of 1.6 below the 5.6 soft trigger — multiple weakening dimensions accumulated rather than a single hard-floor breach. The strongest dimension ( Sentiment at 7.8) was not enough to lift the adjusted overall above the threshold. Co-occurring failed gates ( MOMENTUM:2.7<4.5, DEATH_CROSS:HARD_BLOCK) reinforce the read. Current asymmetry R:R is 2.90 — supplementary context, not the trigger for this path.
The strongest dimensions are Sentiment at 7.8, Value at 7.2, and Growth at 6.7; the weakest are Momentum at 2.7, Peer rank at 3.1, and Insider at 3.4. The V9 engine flagged 2 failed gates, producing an asymmetric reward-to-risk of 2.90 and an engine sizing output of AVOID.