DraftKings (NASDAQ:DKNG – Get Free Report) and Viking (NYSE:VIK – Get Free Report) are both large-cap consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, profitability, earnings, risk, valuation, dividends and analyst recommendations.
Insider and Institutional Ownership
37.7% of DraftKings shares are held by institutional investors. Comparatively, 98.8% of Viking shares are held by institutional investors. 47.2% of DraftKings shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares DraftKings and Viking’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| DraftKings | -2.68% | -11.26% | -1.61% |
| Viking | 19.33% | 117.98% | 10.80% |
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| DraftKings | 2 | 8 | 30 | 1 | 2.73 |
| Viking | 1 | 2 | 16 | 0 | 2.79 |
DraftKings currently has a consensus target price of $34.36, indicating a potential upside of 57.96%. Viking has a consensus target price of $107.33, indicating a potential upside of 27.39%. Given DraftKings’ higher probable upside, equities research analysts clearly believe DraftKings is more favorable than Viking.
Risk & Volatility
DraftKings has a beta of 1.63, indicating that its share price is 63% more volatile than the S&P 500. Comparatively, Viking has a beta of 1.41, indicating that its share price is 41% more volatile than the S&P 500.
Earnings and Valuation
This table compares DraftKings and Viking”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| DraftKings | $6.05 billion | 1.78 | $3.71 million | ($0.38) | -57.24 |
| Viking | $6.50 billion | 5.78 | $1.15 billion | $3.01 | 27.99 |
Viking has higher revenue and earnings than DraftKings. DraftKings is trading at a lower price-to-earnings ratio than Viking, indicating that it is currently the more affordable of the two stocks.
Summary
Viking beats DraftKings on 10 of the 15 factors compared between the two stocks.
About DraftKings
DraftKings Inc. operates as a digital sports entertainment and gaming company in the United States and internationally. It provides online sports betting and casino, daily fantasy sports, media, and other consumer products, as well as retails sportsbooks. The company also engages in the design and development of sports betting and casino gaming software for online and retail sportsbooks, and iGaming operators. In addition, it offers DraftKings marketplace, a digital collectibles ecosystem designed for mainstream accessibility that offers curated NFT drops and supports secondary-market transactions. The company is headquartered in Boston, Massachusetts.
About Viking
Viking Holdings Ltd engages in the passenger shipping and other forms of passenger transport in North America, the United Kingdom, and internationally. It operates through River and Ocean segments. The company also operates as a tour entrepreneur for passengers and related activities in tourism. As of December 31, 2023, it operated a fleet of 92 ships, including 81 river vessels comprising 58 Longships, 10 smaller classes based on the Longship design, 11 other river vessels, and 1 river vessel charter and the Viking Mississippi; 9 ocean ships; and 2 expedition ships. The company was founded in 1997 and is based in Pembroke, Bermuda.
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