Jordan Bender 2.8 1 idea

DraftKings stock plunged on 2026 guidance; handle decelerated 4% in January. The company was "caught flat footed" by prediction markets and must now spend heavily to catch up. While they are expected to be long-term winners (duopoly with FanDuel), the short-term involves heavy investment and decelerating growth metrics. WATCH/AVOID in the short term until the spending impact is clarified at the March investor day. Prediction markets permanently erode market share.