Why DraftKings Stock Is Trading Higher

DraftKings Inc DKNG shares are trading higher Friday after the company reported strong top-line results and raised its full-year guidance.

DraftKings said second-quarter revenue increased 57% year-over-year to $466 million, which beat the estimate of $435.14 million, according to data from Benzinga Pro. 

DraftKings' average monthly unique players increased 30% year-over-year to 1.5 million. Average revenue per user was $103 in the second quarter, representing a 30% increase year-over-year.

"Customer engagement remains strong, and we continue to see no perceivable impact from broader macroeconomic pressures," said Jason Robins, co-founder, chairman and CEO of DraftKings.

DraftKings raised its full-year revenue guidance from a range of $2.055 billion to $2.175 billion to a range of $2.08 billion to $2.18 billion versus the estimate of $2.1 billion.

DraftKings also improved its full-year adjusted EBITDA guidance from a loss between $810 million and $910 million to a loss between $765 million and $835 million.

See Also: Benzinga Before The Bell: Should Investor Worry Tesla's China Sales, Gold back In Focus Again, Nio Smartphone Could Soon Be A Reality Other Top Financial Stories Friday, August 5

DKNG Price Action: DraftKings has traded between $28.55 and $9.77 over a 52-week period.

The stock was up 5.13% at $17.20 at time of publication.

Photo: courtesy of DraftKings.