10 Best Sin Stocks to Invest in 2025

4. DraftKings Inc. (NASDAQ:DKNG)

Number of Hedge Fund Holders: 54

DraftKings Inc. (NASDAQ:DKNG) is an American gambling and sports betting company. The company offers sportsbook, daily fantasy sports, regulated gaming, and sports betting services. It partners with major sports leagues like the NFL, NHL, NBA, PGA TOUR, UFC, and NASCAR.

The company’s sportsbook is available in 27 US states and in Ontario, Canada, while its daily fantasy sports product is available in 44 US states, certain Canadian provinces, and the United Kingdom. DraftKings Inc. (NASDAQ:DKNG) ranks among the best sin stocks to buy.

The company has strategically expanded into the lottery industry and aims to grow its existing sportsbook and iGaming operations. On May 22, 2024, DraftKings Inc. (NASDAQ:DKNG) closed its acquisition of Jackpocket, the leading digital lottery app in the US. This move allows the company to enter the growing lottery market while also expanding its sportsbook and iGaming by enhancing customer acquisition capabilities.

In the third quarter of 2024, DraftKings Inc. (NASDAQ:DKNG) reported a revenue of $1.095 billion. This marks a 39% increase from $790 million in Q3 2023. The company also reported a significant increase in Monthly Unique Payers (MUPs), which increased 55% year-over-year to reach 3.6 million. This growth was driven by strong customer retention and acquisition across DraftKings Inc.‘s (NASDAQ:DKNG) sportsbook and iGaming products as well as the impact of the Jackpocket acquisition.

The company is actively planning to grow its business. On November 5, 2024, voters in Missouri approved a ballot initiative that legalized sports betting in the state. DraftKings Inc. (NASDAQ:DKNG) aims to launch its sportsbook in Missouri pending market access, licensure, and regulatory approvals. The company also expects to launch its sportsbook in Puerto Rico pending market access and regulatory approvals.