DraftKings Gains 1.69% with Missouri License as Stock Ranks 161st in $540M Trading Day

On August 18, 2025, DraftKings (DKNG) traded at a 1.69% gain with a volume of $540 million, ranking 161st in trading activity on the day. The stock’s move followed the announcement of a direct mobile sports betting license in Missouri, granting the company independent operation rights in its 29th U.S. state. The Missouri Gaming Commission awarded one of only two “untethered” licenses, allowing DraftKings to bypass partnerships with land-based casinos or teams. This expansion, set to launch on December 1, 2025, is expected to enhance market access and reduce operational costs.

Analysts highlight the strategic significance of the license, which aligns with DraftKings’ broader North American growth ambitions. While the stock’s recent volatility—marked by 16 moves exceeding 5% over the past year—suggests mixed investor sentiment, the Missouri approval is viewed as a step toward long-term market penetration. Earlier in 2025, the company exceeded fourth-quarter earnings and revenue guidance, though challenges such as a 16% decline in average revenue per user and a lower sportsbook hold rate have tempered some optimism.

Options activity on August 18 reflected heightened interest, with 58,214 DKNG contracts traded—equivalent to 5.8 million shares—accounting for 58.7% of the stock’s 30-day average volume. The $45 strike put option, expiring August 22, saw 8,858 contracts traded, indicating defensive positioning ahead of the December launch. Despite a 25.9% year-to-date gain, DKNG remains 14.6% below its 52-week high of $53.49, reflecting ongoing market skepticism about regulatory risks and competitive pressures.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day resulted in a moderate return. The total profit from this strategy, considering the given time period from 2022 to the present, is $2,340. The cumulative return reaches 23.4% when accounting for the initial investment. This indicates a positive performance, but the returns are modest given the significant market volatility and the use of a conservative holding strategy.