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DraftKings Falls 12% in October as Prediction Markets Jolt Sentiment Before Earnings

Bettor-friendly NFL outcomes left DraftKings with thinner hold in September.

Overview

  • Shares dropped 12.32% in October to a $30.59 close on Halloween, the lowest end-of-day price since August 2024.
  • Investors reacted to soaring activity on event-betting platforms like Kalshi, viewing them as a competitive threat to traditional sportsbooks.
  • Analysts flagged September’s bettor-favorable NFL results as a key drag on third-quarter margins and trimmed estimates.
  • DraftKings is slated to report third-quarter results after Thursday’s close, a potential catalyst that could stabilize or deepen the stock’s slide.
  • Management updates investors want include October football hold trends and any guidance on promotional discipline, which some expect the company could emphasize.