DraftKings’ cautious guidance weighed on its stock, underperforming broader market benchmarks in Q1 2026.
DraftKings Inc. (NASDAQ:DKNG) closed at $25.40 on May 21, 2026, reflecting a 7.51% one-month decline and a 32.33% drop over the past year. The company’s market capitalization stands at $11.86 billion.
The Meridian Growth Fund, which holds DKNG, reported a -7.90% return in Q1 2026, trailing the Russell 2500 Growth Index’s -3.52% return. The underperformance was attributed to industry allocation effects, though stock selection contributed positively.
DraftKings’ cautious revenue guidance contrasted with broader market volatility driven by trade policy uncertainty and geopolitical risks, including tariffs and military actions.