Is DraftKings Inc. (DKNG) Undervalued?
Based on the current stock price of $34.88 and a P/E ratio of 21.62,DraftKings Inc. has a PEG ratio of 0.12.
The Short Answer:
Most analysts consider a PEG ratio below 1.0 to be undervalued. With a ratio of 0.12, DKNG appears to be potentially undervalued relative to its growth rate of 180.96%.
Based on a PEG ratio of 0.12 (adjusted for dividends).
Compare DKNG vs Competitors
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How we analyzed DKNG
We calculated the PEG (Price/Earnings-to-Growth) ratio by taking the Price-to-Earnings Ratio of 21.62and dividing it by the annual growth rate of 180.96%.
PEG = 21.62 (P/E) ÷ 180.96 (Growth) = 0.12
Frequently Asked Questions about DKNG
What is the current PEG Ratio for DraftKings Inc. (DKNG)?+
The current PEG Ratio for DraftKings Inc. is 0.12. A PEG ratio below 1.0 generally suggests the stock may be undervalued relative to its growth.
Is DKNG stock undervalued right now?+
Based on the PEG ratio of 0.12, DraftKings Inc. appears to be potentially undervalued. Investors typically look for a PEG ratio below 1.0 to find undervalued growth stocks.
What is the PEGY Ratio for DKNG?+
The PEGY ratio for DraftKings Inc. is 0.12. This metric accounts for dividend yield (0.00%), providing a more complete valuation picture.