DraftKings president Matthew Kalish sells shares worth $15.9 million

BOSTON—DraftKings Inc. (NASDAQ:DKNG), the $18.8 billion market cap online sports betting leader, saw its President of North America, Matthew Kalish, recently make significant transactions involving the company’s Class A Common Stock. According to an SEC filing, Kalish sold shares totaling approximately $15.9 million. The sales occurred on May 12 and 13, with prices ranging from $37.83 to $38.55 per share, near the stock’s current trading level of $37.68.

In addition to the sales, Kalish exercised stock options on May 12 and 13, acquiring 210,000 shares each day at an exercise price of $3.29 per share. These transactions were part of a pre-arranged trading plan under Rule 10b5-1, adopted in late 2024. According to InvestingPro data, DraftKings has shown strong revenue growth of 23% over the last twelve months, though the stock remains volatile with a beta of 1.89.

Kalish’s remaining direct ownership following these transactions stands at 4,155,130 shares. The transactions highlight ongoing executive activity within the company as DraftKings continues to navigate the competitive landscape of the online sports betting industry. InvestingPro analysis reveals 12 additional key insights about DraftKings’ financial health and market position, available in the comprehensive Pro Research Report.

In other recent news, DraftKings Inc. announced its first-quarter earnings, reporting a revenue of $1,409 million, which represents a 20% increase year-over-year. However, this fell short of both Guggenheim’s expectation of $1,465 million and the consensus estimate of $1,429 million. The company’s EBITDA for the quarter reached $103 million, exceeding the consensus estimate but not meeting Guggenheim’s forecast. As a result of these outcomes, DraftKings revised its 2025 revenue and adjusted EBITDA guidance, with the revenue now projected between $6.2 billion and $6.4 billion and EBITDA between $800 million and $900 million. Despite these adjustments, analysts from firms like Benchmark, Macquarie, and TD Cowen maintained a positive outlook, highlighting the company’s strong user engagement, improved sportsbook hold, and effective promotional strategies. Benchmark raised its price target for DraftKings to $45, while Macquarie and TD Cowen both adjusted their targets to $53, all maintaining favorable ratings. Additionally, Guggenheim reduced its price target to $60 but continues to hold a Buy rating, citing robust consumer demand and management’s focus on cost discipline. These developments reflect DraftKings’ ongoing efforts to strengthen its market position amid fluctuating outcomes in the sports betting industry.

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