UBS analyst Robin Farley raised the price target on DraftKings Inc. (NASDAQ: DKNG) to $49.00 (from $43.00) while maintaining a Buy rating.

The analyst comments "We are updating our DKNG estimates following Q1 earnings in which DKNG beat Street estimates for revenue and EBITDA. DKNG reiterated its guide, but this now includes expectations of negative revenue from PM, implying an underlying raise to core revenue, while other operators lowered FY guidance due to unfavorable sport outcomes. We remain Buy rated, and our Price Target moves up to $49 from $43, with primary adjustments related to PM revenue and Q1 results. We move to value DKNG using our 2028E EBITDA discounted back 0.75 periods (from 2027E EBITDA, undiscounted) and a 17x EV/EBITDA forward multiple, unchanged, where DKNG has traded on average for 3 years, 5 years and since going public (since there is not yet a 10-year average.)"