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Why DraftKings Stock Jumped Today

TheMotleyFool

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Shares of DraftKings (NASDAQ: DKNG) climbed 5.6% on Wednesday after a rival sportsbook operator said it would pull back on ad spending.

With its losses mounting, Caesars Entertainment (NASDAQ: CZR) plans to dial back its marketing investments in an attempt to improve its flagging profitability.

Caesars spent heavily to expand into newly legalized sports betting markets. But after obtaining a significant share of the U.S. sports gambling market faster than it expected, the casino giant will rein in its customer-acquisition efforts.

Source Fool.com

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