Digital sports entertainment and gaming company DraftKings Inc. (DKNG) recently launched its online sportsbook and casino products in Ontario, Canada, to further expand its business. It also acquired Golden Nugget Online Gaming, Inc. to broaden its reach into new customer segments and enhance the combined company’s iGaming product offerings.
However, the high costs of acquiring customers led to DKNG generating massive losses. The stock has lost 22.3% over the past three months and 78.3% over the past nine months to close yesterday’s trading session at $13.82. In addition, it is currently trading 78.6% below its 52-week high of $64.58, which it hit on September 8, 2021. So, DKNG’s near-term prospects look bleak.
