DraftKings (NASDAQ: DKNG) among gaming equities on Tuesday supported a sell-side analystsa. In a note to clients, Craig-Hallum analyst Ran Sigdahl reiterated a buy for DraftKings and a $70 price target from $60.
In March, DraftKings stock reached an all-time high of $74.38. Wall Street maintains a $70.85 price forecast for the name.
DraftKings is the only pure-play sports betting equity in the US, and analysts highlight a light trait of bullish. The betting company stock is up by nearly 30 percent year to date and 10.71 percent over the past month.
The recent ascent of DraftKings stock was powered largely by the arrival of football season. Football is highly wagered in the US, and the 2021 season is boosting the sports betting equities.
Sigdahl notes that football wagering volumes are forecasted to skyrocket, adding that DraftKings might benefit from that enthusiasm and probably take some market from FanDuel.
FanDuel is the largest online sportsbook in the US. DraftKings is battling for second place with BetMgm. Analysts pointed that investors will be monitoring how the company is spending on customer acquisition in the third and fourth-quarter earnings reports.
DraftKings began publicly trading in April 2020. DraftKings remain Wall Street favorites. Much of investors’ enthusiasm in DraftKings revolves around more states legalizing sports betting and online casinos.