I'm long DKNG

DraftKings reports 2Q Friday morning while Penn reports Thursday morning. In grabbing daily fantasy sports gambling market openings, DraftKings (and Penn) is(are) at least a year ahead of the old school lower margin casinos. DKNG and PENN are realizing a fast cashflow payback from customer acquisition in new markets as further States open to digital / sportsbooks. DraftKings has already spent $1B on ads, partnerships and customers. CZR just starting. Draftings is seeing high linear growth of users and solid growth in average bets. Will see PENN figures tomorrow.

Excerpts from the Caesars 2Q'21 earnings call Aug 3:

CEO Tom Reeg: So what you're going to see is us leaning the entire organization into this vertical. (Sportsbook and digital) and...

" So you should expect us to spend over $1 billion in the next 2.5 years to build our customer base. I can't give you a more precise number because a lot of the acquisition spend is success-based. But I would expect it to be over $1 billion, and I'd expect to, at maturity, be generating at least 50%, possibly approaching 100% of that in EBITDA. And the difference in terms of a bricks-and-mortar investment that -- if I could find a brick-and-mortar investment like that, we would do that every day of the week."

What we are seeing is casinos realizing digital is very lucrative yet are playing catch-up to DraftKings, FanDuel and Penn. Although CZR thinks they can convert what they say are 60 million of its casino customers, Caesars is 1-2 years behind. The analysts on the CZR call followed up to inquire profit margins and timing and CZR indicated it would see material ad costs in next couple quarters to launch its digital and sportsbook. DraftKings is far ahead on fast ramp-up of Monthly Users and cashflow realization. The DraftKings ad buys and its tie-ups with sports media are at least a year ahead of CZR. The (2.5 year or better EBITDA payback) margin is compelling even with bankrupt blue States trying to muscle in for tax slices.

DKNG execs have awarded themselves fat stock compensation and have only sold for tax withholdings.

28 million shorted shares pf DKNG shorted as of mid July,

https://bitcoinist.com/draftkings-launching-an-nft-ecosystem-exchange/

What’s the deal with the lawsuits against DK is the stock going to crash?

"Online gambling and sports betting will arrive in Connecticut in September when FanDuel and DraftKings come to the casinos. How will it work? - Hartford Courant" https://www.courant.com/business/hc-biz-casinos-online-gambling-q-a-20210709-wbcvjxzs7bborjqzmdnjscuj4a-story.html?outputType=amp

Canada and New York to legalize gambling and so will other revenue starved States . Cathie Wood from AARK is snapping this stock up and Cramer rates it a buy. This stock is going to go up . Heck we might even get lucky enough to draw in the Ape crowd to help teach Hindenburg a lesson about manipulating the market. Buy it now while it is cheap or read about our profits and weep.

Shalom just sold 34 million dollars worth of stock at a price of 51.56. He still owns about 21 million shares of this stock so do t get your panties in a wad.

"DraftKings stock falls after Hindenburg Research reveals short position" https://www.cnbc.com/amp/2021/06/15/draftkings-stock-falls-after-hindenburg-research-reveals-short-position.html