DraftKings (NASDAQ:DKNG) shares were up during Thursday’s premarket session but down at last check as the company unveiled online sports betting and casino products in Alberta, Canada.
This expansion, pending regulatory approval, aligns with the company’s strategy to expand its footprint across North America and is likely contributing to positive sentiment around the stock, especially as the broader market gained on Wednesday.
Alberta would be the second province in Canada to offer these services, alongside Ontario.
The anticipated launch date is set for July 13, 2026, coinciding with the World Cup, which could further boost engagement from sports fans in the province.
“With the anticipated launch aligning with the World Cup — hosted right here in North America — it’s a particularly exciting moment for sports fans in the province to engage with our platform,” said Greg Karamitis, Executive Vice President and General Manager of Sports at DraftKings.
The broader market saw gains on Wednesday, with the Nasdaq rising 0.15% and the S&P 500 up 0.14%. DraftKings’ upward movement comes as the Technology sector gained 0.27%, indicating that the stock is moving in line with positive market trends.
Technical Analysis
DraftKings is currently trading within its 52-week range, with a high of $48.78 and a low of $20.46. The stock is trading 4.8% above its 20-day simple moving average (SMA) and 0.2% below its 50-day SMA, suggesting a mixed short-term trend. However, it remains significantly below its 100-day SMA by 16.4% and its 200-day SMA by 30.5%, indicating longer-term bearish pressure.
The relative strength index (RSI) is 51.92, considered neutral, suggesting the stock is neither overbought nor oversold at this time. The moving average convergence divergence (MACD) is currently above its signal line, indicating bullish momentum, although the histogram shows a positive value, suggesting that upward momentum may be gaining strength.
- Key Resistance: $24.00 — This level may act as a barrier for upward movement.
- Key Support: $20.50 — A critical level where buying interest could emerge.
DraftKings got its start in 2012 as an innovator in daily fantasy sports. Following a Supreme Court ruling in 2018 that allowed states to legalize online sports wagering, the company expanded into online sports and casino gambling, where it generally holds the number-two or -three revenue share position across states where it competes.
The company’s recent announcement to expand into Alberta is significant, as it reflects DraftKings’ commitment to growing its market presence in Canada. With its predictive market launch in 2025, DraftKings is now live with online or retail sports betting in most states and i-gaming in five states, catering to around 40% of Canada’s population.
Earnings & Analyst Outlook
DraftKings is slated to provide its next financial update on May 7, 2026 (estimated).
- EPS Estimate: 15 cents (Up from 12 cents)
- Revenue Estimate: $1.65 billion (Up from $1.41 billion)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $37.39. Recent analyst moves include:
- Wells Fargo: Overweight (Raises Target to $31.00) (April 7)
- Citizens: Market Outperform (Lowers Target to $34.00) (April 1)
- Susquehanna: Positive (Lowers Target to $32.00) (March 31)
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for DraftKings, highlighting its strengths and weaknesses compared to the broader market:
- Momentum: Strong (Score: 83/100) — Stock is outperforming the broader market.
The Verdict: DraftKings’s Benzinga Edge signal reveals a momentum-driven story, indicating strong performance relative to market peers. The company is well-positioned for growth as it expands its offerings in new markets.
Top ETF Exposure
- Roundhill Sports Betting & iGaming ETF (NYSE:BETZ): 6.04% Weight
- Janus Henderson Transformational Growth ETF (NASDAQ:JXX): 4.71% Weight
- Roundhill MEME ETF (NYSE:MEME): 4.28% Weight
Significance: Because DKNG carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
Price Action
DKNG Stock Price Activity: DraftKings shares were up 1.39% at $23.97 during premarket trading on Thursday, according to Benzinga Pro data.
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