Why DraftKings' Shares Jumped 8.4% on Tuesday
Shares of online gambling company DraftKings (NASDAQ: DKNG) jumped as much as 8.4% in trading Tuesday after getting a confident note from an analyst. At the market's close, shares were up 7.3% for the day.
In a note to investors, Rosenblatt analyst Bernie McTernan said he didn't think a potential excise tax on daily fantasy sports betting proposed by the IRS is a big deal for the company. Management has said they don't expect changes to taxation rules, but even if they do, McTernan doesn't think it changes the value of the company much.
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Source Fool.com
