As Cathie Wood Doubles Down on DraftKings, Should You Follow Suit?

Building their brands as daily fantasy sports operators, DraftKings (NASDAQ: DKNG) and Flutter Entertainment's (NYSE: FLUT) FanDuel gained a first mover's advantage over traditional sportsbook operators like casino companies, when the U.S. sports betting legalization wave kicked off starting in 2018.However, for these first movers, a new competitive threat is emerging. A more favorable regulatory environment has empowered prediction markets like Kalshi to begin offering sports-related prediction contracts. Moreover, with Kalshi last week launching a product that could threaten a key profit center for the sportsbook industry, concerns have spiked further. As a result, shares in DraftKings, Flutter, and other sportsbook operators sold off in response.Yet while market sentiment for these names is turning negative, one prominent growth investor is building up a contrarian wager on DraftKings. So, bullish or bearish, what's the smarter side of the trade? Let's find out.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool