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Technology Stocks : DraftKings, Inc. / Online Gambling -- Ignore unavailable to you. Want to Upgrade?

To: koufax1791 who wrote (57)	6/3/2020 3:21:22 PM
From: Glenn Petersen	2 Recommendations Recommended By alwaysbmiki sixty2nds Respond to of 282

Welcome to the board. I've owned PENN in the past and was a fan of their pre-COVID business model. Not so much now. The physical locations are an anchor (short to mid-term) and it is going to take several years for the casinos to recover. Also, the company is highly leveraged and will probably need to raise some additional funds within the next six months. They have not had any problems borrowing money in the past, but if I were them I'd be doing an offering while the stock price is up. I can see the stock correcting to around 20, at which point I would be a buyer. I wish that I had picked up some shares when it bottomed out at $3.75 I missed out on GAN. Kudos to you and roger for riding that wave. DKNG has the advantage of being a fully integrated pure play, though I have to tell you that I did not expect the stock to run up the way it has. The Diamond Eagle-DraftKings deal hit my radar in late December when it was initially announced, but I held off on buying until they filed their initial prospectus and I saw the numbers. I got in at $13. The stock will correct at some point, and I do have stops in place. I am very bullish long-term, but the $12 billion plus valuation is a concern. Earlier this year I rode SPCE (another SPAC deal) up from $16 to the low-40s. It cratered when COVID hit and I gave up half of my profits. You can't win them all. Regards, Glenn