DKNG Forecast



Bearish<—>Bullish



80% Confidence




Bullish Case: DraftKings' strategic expansions and new subscription service could boost revenues. High implied volatility suggests potential for upward price movement despite antitrust scrutiny.




Bearish Case: Regulatory challenges and potential market saturation pose risks. Antitrust investigations could dampen investor sentiment, putting downward pressure on stock prices.




Potential Outcomes: 65% continued market expansion boosts stock; 25% regulatory challenges slow growth; 10% competition erodes market share. Near stagnant Helium forecast aligns with balanced probabilities.




Trading Oracle: Initiate a bullish debit spread by buying $41 calls and selling $43 calls with 30-day expiry. This leverages current high implied volatility for potential upside, minimizing risk with a tight spread. Optimal given positive sentiment and recent DKNG price trends.



January 28, 2025


DraftKings Forecast

DKNG        DraftKings











Correlated Assets

Assets that tend to move strongly with DKNG



PATH Forecast + Options Trading Strategies   PATH  UiPath (0.76)


TDOC Forecast + Options Trading Strategies   TDOC  Teladoc Health (0.76)


MT Forecast + Options Trading Strategies   MT  New York Shares (0.75)


LAC Forecast + Options Trading Strategies   LAC  Lithium Americas (0.75)


HTZ Forecast + Options Trading Strategies   HTZ  Hertz Global Holdings (0.71)



Uncorrelated Assets

Assets with little price relationship to DKNG



UBS Forecast + Options Trading Strategies   UBS  UBS (-0.0)


BBW Forecast + Options Trading Strategies   BBW  Build A Bear Workshop (-0.0)


MAS Forecast + Options Trading Strategies   MAS  Masco (-0.0)


APO Forecast + Options Trading Strategies   APO  Apollo (-0.0)


ADM Forecast + Options Trading Strategies   ADM  Archer Daniels Midland (-0.0)



Anticorrelated Assets

Assets that tend to move strongly against DKNG



AZN Forecast + Options Trading Strategies   AZN  Astrazeneca (-0.6)


LLY Forecast + Options Trading Strategies   LLY  Lilly(Eli) (-0.61)


CALX Forecast + Options Trading Strategies   CALX  Calix (-0.61)


KO Forecast + Options Trading Strategies   KO  Coca-Cola (-0.66)


FFIE Forecast + Options Trading Strategies   FFIE  Faraday Future Intelligent Electric (-0.69)









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