DraftKings (DKNG) Extends Sports Betting Deal With MansionBet

DraftKings DKNG recently announced the renewal and extension of its partnership with MansionBet, the sports betting brand of Mansion Group.

Per the agreement, MansionBet will continue to use DraftKings’ B2B technology to power the operator’s sportsbook and casino platform. The deal will also provide MasionBet with a suite of managed services covering compliance, payments and anti-fraud protocols.

The deal is expected to enhance MansionBet’s customer offerings, including horse racing, which will now feature additional streaming coverage and Timeform content from both U.K. international tracks. It will leverage DraftKings’ suite of Application Programming Interface across its entire sportsbook.

Solid Partner Base to Drive Expansion

The partnership with MansionBet is the latest in the string of similar deals between DraftKings and various sports leagues and media companies.

Earlier this month, DraftKings signed a partnership deal with Turner Sports, a subsidiary of AT&T’s T WarnerMedia. The deal makes Draftkings an exclusive sportsbook and daily fantasy sports provider across Turner Sports and Bleacher Reports, excluding the National Basketball Association’s content.

DraftKings Inc. Price and Consensus

DraftKings Inc. Price and Consensus

DraftKings Inc. price-consensus-chart | DraftKings Inc. Quote


Additionally, the company entered into similar partnerships with sports icon Michael Jordan, the New York Giants, Chicago Cubs and Disney’s DIS ESPN.

Draftkings’ growing partner base is expected to expand its reach and drive customer engagement on its platform. These partnerships bode well with the company’s aim to gain brand exposure and secure market share in the U.S. sports betting market.

Markedly, DraftKings shares have surged nearly 259.8% in the year-to-date period compared with the S&P 500’s growth of 5.6%.

Coronavirus-Led Disruptions Continue

Although the U.S. unemployment rate has declined to 7.9 percent in September 2020, the jobless rate remained well above pre-pandemic levels due to staggering recovery from the COVID-19 shock, which indicates a cut-down in disposable income spent on sports betting.

Moreover, coronavirus-led cancellations of major sports leagues and sporting events are expected to prompt a decline in sports viewership, thereby negatively impacting the online wagering business of Draftkings, which currently has a Zacks Rank #4 (Sell).

Further, reports of new coronavirus infections in the National Football League and concerns about the continuation of the tournament full season comes as a setback to Draftkings plans to drive customer engagement in the sports betting space.

Notably, sports betting and online gambling companies like DraftKings and Penn National Gaming PENN stand to benefit from the accelerated betting on digital platforms like online poker, casino games and lottery.

However, pandemic-induced headwinds in sports are likely to hurt Draftkings near-term prospects.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Zacks’ 2020 Election Stock Report:

In addition to the companies you learned about above, we invite you to learn more about profiting from the upcoming presidential election. Trillions of dollars will shift into new market sectors after the votes are tallied, and investors could see significant gains. This report reveals specific stocks that could soar: 6 if Trump wins, 6 if Biden wins.

Check out the 2020 Election Stock Report >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
ATT Inc. (T): Free Stock Analysis Report
The Walt Disney Company (DIS): Free Stock Analysis Report
Penn National Gaming, Inc. (PENN): Free Stock Analysis Report
DraftKings Inc. (DKNG): Free Stock Analysis Report
To read this article on Zacks.com click here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.