Is It Too Late to Buy DraftKings Stock?

There are two sides to every wager, and this was on display with (NASDAQ: DKNG) late last week. Stifel upgraded the stock from hold to buy on Friday morning, just as BNP Paribas was downgrading shares of the online sportsbook operator from neutral to underperform.

Seeing a pair Wall Street pros go different ways on a battleground stock isn't unusual. What's an inefficient market without a dash of divergence? However, for a stock like DraftKings that has already more than tripled over the past year, it does lead one to wonder if the upticks can keep coming. Is the now-bearish BNP Paribas right to advise caution after the stock's wealth-altering 233% surge since the beginning of last year? Is Stifel's bullish turn -- one of two upgrades for DraftKings last week -- the correct call? Let's take a closer look.

Jeff Stantial at Stifel is feeling upbeat about DraftKings, lifting his price target from $40 to $45 alongside last week's upgrade. He feels that the promotional pressure from the aggressive launch of ESPN Bet two months ago is starting to subside. Stantial sees healthy industry trends and DraftKings-specific operational advantages positioning it to potentially exceed its guidance.

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Source Fool.com