DraftKings Inc ( DKNG ). shares are rising, likely in sympathy with Flutter Entertainment ( FLUT ) , which saw a boost after issuing positive guidance for 2027.

As both companies operate in the online sports betting and iGaming sector, Flutter’s optimistic outlook appears to be creating a ripple effect, lifting DraftKings’ share movement as investors react to the overall market sentiment.

Flutter targets revenue of around $21 billion in 2027, representing a compound annual growth rate (CAGR) of 14%, based on the midpoint of U.S. and Rest of World (ROW) 2027 guidance.

Also, Flutter projects an adjusted EBITDA of over $5 billion, adjusted EBITDA margin expansion of 700 basis points, and free cash flow of around $2.5 billion by 2027.

Apart from this, Flutter approved a share buyback program of up to $5 billion, set to be implemented over the next three to four years, with a launch anticipated after the third-quarter earnings report in November 2024.

Also Read: Flutter Bets Big On US And Global Expansion: $21B Revenue Goal And $5B Buyback In Sight

The significant total addressable market (TAM) for regulated gaming is projected to reach $368 billion by 2030, with global gross gaming revenue (GGR) expected to grow at a compound annual growth rate (CAGR) of 8%.

According to Benzinga Pro, DKNG stock has gained over 52% in the past year. Investors can gain exposure to the stock via Roundhill Sports Betting & iGaming ETF (BETZ) and Pacer BlueStar Digital Entertainment ETF ( ODDS ) .

As the online sports betting market continues to evolve, DraftKings ( DKNG ) stands to benefit from Flutter’s optimistic projections and overall market growth, positioning both companies for potential success in the coming years.

DKNG, FLUT Price Actions: DraftKings ( DKNG ) shares are trading higher by 6.49% to $41.68. Flutter shares are trading higher by 6.53% at $243.07.

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