DraftKings stock sinks 26% on profit outlook

DraftKings stock fell more than 26% on Friday after the company lowered its 2026 profit outlook by increasing investment in its prediction markets business to $650 million to $700 million. The Boston-based firm expects 2026 Adjusted EBITDA between $175 million and $275 million, while revenue is projected at $6.35 billion to $6.55 billion.