DraftKings reduced guidance ‘clearing event,’ says Jefferies

Jefferies says DraftKings (DKNG)’ reduced guidance for fiscal 2025 “had been anticipated and is a clearing event.” The firm sees “several positive aspects” to the story, saying the outlook cut was driven entirely by customer outcomes in March and Street concerns “appear more noise.” In-play betting should drive greater handle growth for DraftKings versus peers, the analyst tells investors in a research note. Jefferies keeps a Buy rating on the shares with a $60 price target