The fair value of requested stock should be $99.54
* Note: Prices are in Million (M) USD.
These criteria used Company’s Cash, EBITDA and Debt balance to determines its fair value:
Cash : $788 M
Debt : $1,340 M
EBITDA : $-312 M
Net Debt (Debt - Cash): $552 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Consumer Cyclical
Industry: Gambling
Based on industry, 3 points assigned.
This criteria used Company’s Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 18.98
Since Forward PE Ratio is between 15 - 20, 3 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $-412 M
Average Revenue: $2,962 M
Free Cash Flow to Revenue : -14 %
Since Free Cash Flow (FCF) to Revenue percentage is negative, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Error: This stock does not have 5 years of revenue data.Using default values for calculation.
Based on default values, 1 points assigned.
This criteria used Company's ability to buy back its own share:
Error: This stock does not have 5 years of share count data.Using default values for calculation.
Based on default values, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Earnings Per Share (EPS): $1.78
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: -100%
Since Average ROE is negative, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $34
52-Week Low: $29
Threshold Price (15% Above 52-Week Low): $33
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $15,834 M
Since Market Cap is between 10B - 100B, 2 points assigned.
% Exposure to Total Portfolio
Based on the calculated score, we recommend do not exceed 3% exposure of Total Portfolio.
Value-Trade has assigned 8 points to above DraftKings Inc (DKNG) stock.
Value-Trades has assined P/E value 9. Since current year earning per share is $1.78.
The fair value of DraftKings Inc (DKNG) stock should be (9 x $1.78) = $16.02
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