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Benzinga
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DraftKings Q3 Preview: Record NFL Betting Expected, Will Prediction Markets Hurt Results, Guidance?

1. DraftKings reports earnings Thursday, with expected revenue of $1.23 billion. 2. Analysts predict a loss of 40 cents per share in Q3 earnings. 3. Bank of America downgraded DKNG from Buy to Neutral, citing market challenges. 4. Prediction markets and recent acquisitions are critical topics for future growth. 5. DraftKings has hit a 52-week low, down over 20% recently.

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FAQ

Why Bearish?

The downgrade by leading analysts and concerns over market position could instigate selling pressure. Historical precedent shows stocks facing downgrades often trend downward, especially in competitive industries.

How important is it?

Earnings reports and analyst downgrades significantly impact stock price; ongoing challenges are acute.

Why Short Term?

Immediate pressure on DKNG shares from downgrades and earnings reports will affect pricing.

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