DKNG — Valuation Models

Interactive models with editable assumptions. All calculations run client-side.

Valuation Summary

Model	Intrinsic Value	vs Price ($24.45)
DCF	$174.64	+614.4%
Graham Number	—	—
Reverse DCF	—	implied g: 8.2%
DDM	—	—
EV/EBITDA	$23.82	-2.6%

Values reflect default assumptions. Adjust inputs in each model below to update.

1 — Discounted Cash Flow (DCF)

Assumptions

Base FCF($B)Yahoo: $605.93M

Near-term growth (yrs 1–5)(%)Rev: 42.8% / EPS: —

Long-term growth (yrs 6–10)(%)

Terminal growth rate(%)

WACC(%)Computed: 11.73%

Computed WACC: 11.73%

Cost of equity (Re)13.55%(Rf 4.30% + β 1.68 × ERP 5.50%)

Cost of debt (Rd)0.00%(no debt / unavailable → 0%)

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)86.56%

Debt weight (D/V)13.44%

Results

Intrinsic Value / share$109.63

Current Price$24.45

Upside / Downside+348.5%

Net Debt (used)$762.28M

Sensitivity: WACC (rows) × Near-term g (cols)

WACC \ Near-term	34.8%	38.8%	42.8%	46.8%	50.8%
7.0%	$207.38	$239.62	$275.76	$316.13	$361.11
8.0%	$162.33	$187.49	$215.68	$247.17	$282.25
9.0%	$131.55	$151.87	$174.64	$200.07	$228.39
10.0%	$109.30	$126.14	$144.99	$166.04	$189.47
11.0%	$92.55	$106.76	$122.68	$140.43	$160.20

2 — Graham Number

Assumptions

MultiplierGraham used 22.5 (15× P/E × 1.5× P/B)

EPS (trailing)($)Yahoo: $-0.01

Book Value / share($)Yahoo: $1.28

Results

Graham Number requires positive EPS and positive Book Value per share. EPS is zero or negative.

Graham Number—

Current Price$24.45

Margin of Safety—

Formula: √(22.5 × max(0,EPS) × max(0,BVPS))

3 — Reverse DCF (Implied Growth)

Assumptions

WACC(%)Computed: 11.73%

Terminal growth rate(%)

Computed WACC: 11.73%

Cost of equity (Re)13.55%(Rf 4.30% + β 1.68 × ERP 5.50%)

Cost of debt (Rd)0.00%(no debt / unavailable → 0%)

Tax rate (T)21.00%(US statutory fallback)

Equity weight (E/V)86.56%

Debt weight (D/V)13.44%

Results

Current Price$24.45

Implied Near-term FCF Growth15.0%

Historical Revenue Growth42.8%

Historical Earnings Growth—

Base FCF (TTM)$605.93M

Implied growth is the FCF growth rate (yrs 1–5) that makes the DCF intrinsic value equal the current price. Long-term growth is set to half the implied near-term rate.

4 — Dividend Discount Model (DDM)

Assumptions

Annual dividend D0($/share)Yahoo: —

Dividend growth rate (g)(%)

Required return (r)(%)

Results

This company does not pay a dividend. DDM is not applicable — the intrinsic value shown uses D0 = $0 unless you enter a hypothetical dividend above.

DDM Intrinsic Value / share—

Current Price$24.45

Upside / Downside—

Formula: D0 × (1+g) / (r − g)

5 — EV/EBITDA Multiple

Assumptions

EBITDA($B)Yahoo: $272.88M

Target EV/EBITDA multipleCurrent: 45.8×

Net Debt($B)Default: $762.28M

Results

Implied Equity Value / share$23.82

Current Price$24.45

Upside / Downside-2.6%

Implied EV$12.51B

Sensitivity: EV/EBITDA multiple (rows) × Net Debt (cols)

Mult \ Net Debt	-$1.24B	-$237.72M	$762.28M	$1.76B	$2.76B
41.8x	$25.66	$23.63	$21.61	$19.58	$17.55
43.8x	$26.77	$24.74	$22.71	$20.68	$18.66
45.8x	$27.88	$25.85	$23.82	$21.79	$19.76
47.8x	$28.98	$26.96	$24.93	$22.90	$20.87
49.8x	$30.09	$28.06	$26.03	$24.01	$21.98

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