What's Going On With DraftKings Stock on Friday?

DraftKings Inc. (NASDAQ:DKNG) shares are trading higher during Friday’s premarket session as traders digest a move that highlights rising competition for attention in sports-adjacent wagering. LeBron James Switch To Polymarket Puts Spotlight On DKNG NBA star LeBron James is reportedly switching from DraftKings to Polymarket in a deal reported at $15 million, putting a fresh spotlight on prediction markets as a neighboring category to traditional online sports betting. With futures slightly softer, the early uptick in DKNG looks more stock-specific than macro-driven, as investors weigh whether headline partnerships and consumer mindshare are starting to shift toward newer wagering formats. Read Also: DraftKings Boosts Liquidity With New $600 Million Capital Raise DKNG Technical Outlook: Trend, Momentum And Key Levels From a longer-term trend view, DKNG is still in a downtrend: the stock is trading 7.8% below its 20-day SMA, 7.7% below its 50-day SMA, 9.5% below its 100-day SMA, and 14.8% below its 200-day SMA. That "below all the key averages" setup usually means rallies can run into supply faster than they build sustained upside. Momentum also isn’t doing the bulls many favors right now: MACD is below its signal line and the histogram is negative, which points to upside pressure fading versus the prior upswing. In plain English, when MACD sits under the signal line, it often means buyers need a fresh push to regain control. The crossovers are mixed, which fits the choppy tape: the 20-day SMA is above the 50-day SMA (a near-term bullish tilt), but the 50-day SMA remains below the 200-day SMA (the "death cross" that formed in October 2025). That combination often produces tradable bounces inside a bigger repair process rather than a clean trend reversal. Key Resistance: $27.00 — a round-number zone that also lines up near the longer-term moving-average "overhead supply" area (with the 200-day SMA at $26.49 and 200-day EMA at $27.06) Key Support: $21.50 — a nearby floor just above the $20.46 52-week low area, where buyers may try to defend a retest DKNG Earnings Preview And Analyst Price Targets Looking further out, the next major catalyst for the stock arrives with the November 5, 2026 (estimated) earnings report. EPS Estimate: Loss of 16 cents (Up from loss of 26 cents YoY) Revenue Estimate: $1.42 Billion (Up from $1.14 Billion YoY) Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $34.14. Recent analyst moves include: Citizens: Market Outperform (Raises Target to $37.00) (Sept. 8) Bernstein: Outperform (Raises Target to $29.00) (Sept. 3) Wolfe Research: Initiated with Outperform (Target $40.00) (Sept. 2) How DraftKings Ranks On Momentum And Market Signals Below is the Benzinga Edge scorecard for DraftKings, highlighting its strengths and weaknesses compared to the broader market: Momentum: Weak (Score: 7.15) — The stock’s trend profile remains soft versus the broader market, lining up with price sitting below key moving averages. The Verdict: DraftKings’s Benzinga Edge signal reveals a momentum-light setup right now, with the chart still needing repair before it can sustain higher highs. For longer-term investors, that often means watching whether the stock can reclaim the $24–$27 moving-average zone before treating bounces as more than tactical rallies. DKNG ETF Exposure: Funds With The Biggest Weights Corgi Sports Betting & Gambling ETF (NASDAQ:ODDZ): 5.57% Weight Roundhill Sports Betting & iGaming ETF (NYSE:BETZ): 6.08% Weight VanEck Gaming ETF (NASDAQ:BJK): 6.44% Weight Significance: Because DKNG carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock. DKNG Stock Price Activity: DraftKings shares were up 0.67% at $22.62 during premarket trading on Friday, according to Benzinga Pro data. Photo via Shutterstock