Drafking Inc (NASDAQ:DKNG) CEO Jason Robins is speaking out against those who are selling his company’s stock, vowing that they will “regret that decision.”
Robins wrote this message on Twitter (NYSE:TWTR) on Tuesday as the stock of the once-hot sports wagering company continues weakening.
If you sold #DKNG today, just be aware that my team and I are on a mission to make you regret that decision more than any other decision you’ve ever made in your life
— Jason Robins (@JasonDRobins) March 9, 2022
DraftKings’s stock price has plummeted in recent months, down 35% year-to-date and more than 75% year-over-year. Some experts, given the online sports betting industry’s intense competition, do not see the name cash flow positive until 2025. The company is also projected to be non-profitable until 2028.
DraftKings said in its recent 4Q earnings release that it expected to operate at big loss in FY2022, with a projected adjusted EBITDA loss of $825 million to $925 million, much higher than the estimated loss of $572.7 million.
Robins has been dismissive of his company’s overall performance, saying the stock’s price-per-share is just a reflection of an unstable stock market.
“It’s a wild market right now. I think what we’re doing has been very consistent since day one,” Robins said on CNBC in February. “I think the model’s working, and we’ll play the long game here.”
Despite Robins’ optimism, DraftKings’s $326 million loss in the final quarter will do little to alleviate investor concerns about the company’s plunging stock price and its future as a company that keeps losing billions of dollars in market share.
Price Action
DKNG shares were trading down 0.73% at $17.65 in Thursday’s morning session. The stock has a 52-week range of $16.56 – $74.38.
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