Benchmark Maintains Buy on DraftKings (DKNG) Amid Prediction Market Plans

DraftKings Inc. (NASDAQ:DKNG) ranks among the best sin stocks to buy right now. On August 22, Benchmark maintained a Buy rating and a $53 price target for DraftKings Inc. (NASDAQ:DKNG) as the sports betting company maneuvers the developing prediction markets landscape. According to the firm, the predictions market is set to be the next competitive battleground for industry giants such as DraftKings and its rivals in the US sports betting sector.

DraftKings Inc. (NASDAQ:DKNG) has not yet revealed its plan, though Benchmark listed a number of possible courses of action, such as regulatory filings, acquisition (rumors suggest Railbird), or hybrid models that might foster competitive uniqueness.

The firm specifically emphasized Railbird’s strategic significance, arguing that it is the only way to avoid the usual 12–18 month license clearance process and provide DraftKings Inc. (NASDAQ:DKNG) with instant access to prediction markets before the 2025 NFL season.

DraftKings Inc. (NASDAQ:DKNG) is a digital sports entertainment and gaming company that offers sports betting, digital lottery courier, daily fantasy sports, and other products. Additionally, it offers online casino games, including roulette, slot machines, blackjack, and baccarat.

While we acknowledge the potential of DKNG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.