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DraftKings Shares Sag On Soft Q3 Guidance, Too Many Wins By NFL Favorites

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deadline.com
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Dade Hayes Finance EditorDraftKings shares sank nearly 7% after the sports betting firm offered weak guidance for the third quarter and indicated pressure on revenue from favorites dominating underdogs in NFL games.The guidance and disclosures came in an SEC filing in which the company announced that it was selling 16 million shares of Class A stock, with owners of another 16 million also selling.Shares in DraftKings dropped to nearly $59 a share in mid-day trading Monday.

They had run up to a record high of $64.19 last weeks as investors cheered the return of sports, which have managed through myriad COVID-19 complications to offer a sudden spate of options for wagering and TV viewing.

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