# DraftKings Shares Close 21% Lower After 2026 Outlook Cut

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/51372
Published: 2026-11-08T05:11:53.000Z
Updated: 2026-11-08T05:11:53.000Z
Section: Business

> The company lowered its revenue forecast and cited up to $700 million in planned investment in its Predictions business.

Shares of DraftKings (DKNG) closed at $18.51 Friday, Nov. 6, down 21.3%, after the sports betting company lowered its 2026 outlook and cited a $650 million to $700 million investment in its Predictions business.

A premarket snapshot at 9:29 a.m. ET Friday showed the shares at $17.44, down 25.9% from the previous close. The stock later finished above that level.

DraftKings lowered its fiscal 2026 revenue forecast to $6.35 billion-$6.55 billion from $6.5 billion-$6.9 billion. It set adjusted EBITDA guidance at $175 million-$275 million, citing expected adjusted EBITDA investment of $650 million-$700 million in Predictions.

Third-quarter revenue rose 16.2% from a year earlier to $1.329 billion. The company’s combined Sports Revenue category, which includes Predictions and sportsbook revenue, grew 31.5%; iGaming revenue increased 2.1%.

DraftKings expects Predictions revenue to be immaterial in 2026 because customer promotions will offset most of the gross revenue generated. The company launched Predictions in December 2025 and forecasts $650 million-$750 million in revenue from the business in 2027.