DraftKings (DKNG) bets on prediction markets to drive 2027 growth
As seen on the 24/7 Wall St. homepage on November 6, 2026.
More than 1.6 million customers have engaged with Predictions year-to-date, and combined with the strength of our core, we believe we are set up for an exceptional 2027.
Robins is putting prediction markets at the center of DraftKings' 2027 story, a direct answer to the Kalshi and Polymarket encroachment on sportsbook turf. For an $11.7 billion company, how fast that user base converts into real handle is the number that decides next year.
Continue ReadingShow less
Jason Robins flagged a milestone that reframes how investors should read DraftKings' next chapter: more than 1.6 million customers have engaged with its Predictions product year-to-date as of the 2026 Q3 earnings report. That is not a rounding-error side feature. Robins named it alongside the strength of the company's core business as the dual foundation for what he called an exceptional 2027.
The context matters because prediction markets are no longer a novelty. Platforms like Kalshi and Polymarket have drawn serious user attention and, increasingly, real money, encroaching on territory that sportsbooks have long treated as their own. For DraftKings, the 1.6 million engagement figure signals it is not ceding that ground without a fight.
Sponsored
At an $11.7 billion market cap, the company carries meaningful expectations. The critical question heading into next year is how quickly that engaged user base translates into handle, the gross amount wagered, because engagement without conversion does not move revenue.
What to watch is the monetization rate on Predictions as DraftKings reports into 2027. If the product begins showing handle growth alongside its user numbers, the bull case gets considerably more concrete. If engagement plateaus without converting, the narrative shifts back to core sportsbook competition, where margin pressure is already a live debate.
Sources
Mentioned: DKNG