DraftKings Inc. cash flow to debt ratio of 34.27% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

DraftKings Inc.'s free cash flow has increased 58.86% from $407.59M last year to $647.50M, signaling increasing performance

DraftKings Inc.'s debt to equity ratio is 2.36, which means that the company's assets are unhealthy financed, signaling financial risk.

DraftKings Inc.'s debt has increased relative to shareholder equity from 1.32 last year to 2.36 today, signaling weakened financials

DraftKings Inc. has a net debt to EBITDA ratio of 1.09x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

DraftKings Inc.'s interest coverage ratio is -13.19, which means that the company struggles to meet interest obligations, signaling financial risk.

DraftKings Inc.'s profit margin has increased (-74.79%) in the last year from -10.64% to -2.68%, signaling increasing performance

DraftKings Inc.'s short-term assets of $1.82B exceed its short-term liabilities of $1.76B

DraftKings Inc.'s return on assets of -3.90% is lower than the 5.00% threshold, indicating inefficient asset utilization

DraftKings Inc.'s return on equity of -26.30%, is lower than 15.00%, indicating bad performance

DraftKings Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

DraftKings Inc. had positive net income in only 1 out of 5 years, indicating unstable earnings

DraftKings Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

DraftKings Inc. has a free cash flow yield of 5.38%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

DraftKings Inc.'s yearly earnings has increased -100.73% since last year from $-507.29M to $3.71M, signaling increasing performance

DraftKings Inc.'s yearly revenue has increased 26.99% since last year from $4.77B to $6.05B, signaling increasing performance

ROIC -6.69% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

DraftKings Inc.'s 3-year revenue CAGR of 39.29% is positive, indicating growing revenue over the past 3 years

DraftKings Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

DraftKings Inc. had positive ROE in only 1 out of 5 years, indicating inconsistent returns on equity

DraftKings Inc. has insufficient data to evaluate this check.

DraftKings Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

DraftKings Inc. is overvalued relative to its fair value price of 3.01 based on EBITDA multiple model

DraftKings Inc. has an EV/EBITDA ratio of 40.77x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

DraftKings Inc. is overvalued relative to its fair value price of -50.88 based on Earnings Fair Value model

DraftKings Inc. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

DraftKings Inc. has a price-to-book ratio of 21.14x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

DraftKings Inc. has a price-to-sales ratio of 1.93x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue