DraftKings' Strategic Acquisition and Market Expansion Justify Buy Rating Amid Growth OpportunitiesWe continue to view DraftKings as a long-term leader in digital wagering, supported by strong product execution, a growing user base, and durable industry tailwinds. That said, we expect Q3 to be a challenging quarter, pressured by a combination of weak hold and elevated promotional expense, which will likely stress profitability and lead to results below consensus expectations. Despite these near-term pressures, we believe most of this is already reflected in valuation, with investor sentiment having largely reset following recent sector weakness. The company’s acquisition of Railbird Technologies represents a strategic turning point. What had been a perceived competitive headwind from the rapid rise of prediction markets may now become a meaningful tailwind, positioning DraftKings to participate directly in one of the most exciting new growth opportunities in digital gaming.