Benchmark raised the firm’s price target on DraftKings (DKNG) to $50 from $45 and keeps a Buy rating on the shares. DraftKings is said to be in talks to buy Railbird Exchange, a federally licensed prediction market platform approved by the CFTC, which Benchmark views as a very positive development, particularly after DraftKings withdrew its prior application for a federal license. Railbird’s license provides a high-margin, scalable entry point into underpenetrated states while avoiding state gaming and federal excise taxes, the analyst tells investors in a research note.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on DKNG:
- DraftKings’ Strategic Growth Potential and Favorable Regulatory Environment Boost Buy Rating
- DraftKings (DKNG) Is Reportedly in Talks to Buy Prediction Market Platform Railbird
- DraftKings price target raised to $52 from $51 at Morgan Stanley
- JPMorgan views Boyd’s FanDuel stake sale as mixed
- 3 Must-Watch Stocks with a ‘Perfect 10’ Smart Score