DraftKings upgraded to Buy from Hold at Stifel

Stifel upgraded DraftKings to Buy from Hold with a price target of $45, up from $40. The stock’s recent correction affords an attractive entry point, with the company’s market share headwinds easing, the analyst tells investors in a research note. The firm says DraftKings’ near-term share headwinds from ESPN Bet promotions and sports seasonality are fading, enabling investor focus to shift back to the fundamental outlook where healthy same-state handle growth, structural hold-rate expansion, marketing discipline, and fixed cost efficiencies “pose upside to an already impressive guided EBITDA path.”