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DraftKings (NASDAQ: DKNG) - Deep Dive Research
Hi everyone! I am working non-stop provide the best research and analysis regarding DraftKings (NASDAQ: DKNG). I originally posted my overall investment thesis on the company a few weeks back and now I am breaking down and analyzing the latest news and developments regarding DKNG! And no, it is not the ticker symbol for Donkey Kong. DraftKings in my opinion, is the best pure play investment if you want some exposure to the sports betting, iGaming, and daily fantasy sports space. They're founder led (3 founders to be exact) and they're invested into the company themselves right alongside all of us shareholders or potential shareholders. Within the last week, there has been some exciting developments regarding DraftKings. I will share them below: DK Gift Cards Are Live! You can buy a DK gift card as a stocking stuffer for Christmas if you want. I’m really excited to hear this news. It’s only going to increase the brand awareness of DK and that’s what we want. According to the press release on DK’s investor relations website, they’ve partnered with InComm Payments to facilitate the launching of the gift cards. InComm payments is a global leading payments technology company that has a network of retailers that DK will be able to leverage through this partnership. Convenience stores like 7-Eleven, Speedway and Dollar General are just some of the many convenience stores in Incomm Payments’ network that DK will be able to leverage. For now, the gift cards will be offered in $50 and $25 denominations. The great thing about this to me is that they’ve beat their competitors to this. That shows managements initiative and ability to get things done which I complimented when I first picked this company. As of right now, you’re not going to be seeing any “FanDuel” (boo FanDuel *thumbs down emoji*) gift cards in the stores. Tim Richardson, the Senior Vice President at InComm Payments was quoted as saying “DraftKings will benefit from having its brand present in tens of thousands of Incomm Payments’ retail partner locations across the US”. Overall, good news for DK. New York State – Getting desperate? Do they need some online sports gambling revenue? I want to make this clear before I write about this topic – sports betting is already legal in New York state. The problem is, it’s only legal in brick and mortar (retail) locations. Just under a dozen upstate casinos can operate brick and mortar sports books at the moment. In typical DK fashion, they’re already active in a casino in New York State. DK offers in person brick and mortar sports betting through the Del Lago Resort Casino in Waterloo, NY. My news update I’m sharing is that it appears New York state might be considering expanding to online sports betting too due to a budget shortfall they’re experiencing (they need more tax revenue). This news came out on Wednesday, 12/16/20 during the day time. Governor Cuomo had a press conference during the day. The press conference was primarily focused on giving an update on the COVID-19 pandemic in New York state. During the presser, the topic of New York state’s budget shortfalls came up. As a possible financial solution, Cuomo said “Are there other ways to get revenue? How about marijuana? How about sports betting?” He’s referring to the possible tax revenue that could be collected if sports betting offerings were expanded beyond just the brick and mortar offerings. What if every New Yorker could place a sports wager from the comfort of their own home on their cell phone? The battle for legalizing online sports gambling in New York has been going on for years. Governor Cuomo has always been opposed to it. One of the reasons Gov. Cuomo has cited in the past is that he thinks a constitutional amendment would need to be made to New York state law to allow for mobile sports betting in the state. However, one state representative from New York that has been pushing hard for online sports gambling begs to differ. In response to Cuomo’s comments in the presser earlier that day, State Senator Joseph Addabbo said that there would be no constitutional problem with mobile sports betting because the servers could be placed on site of grandfathered in physical casinos. Addabo said that New York state’s need for revenue is “real and immediate” This is a situation to keep a close eye on. The impacts of legalizing mobile sports betting in NY would be substantial for DK as it would open the population of 20 million people in NY state the opportunity to place wagers on the DK Sportsbook app through the comfort of their home. I imagine it wouldn’t be too difficult for DK to mobilize once they get the green light for mobile betting as they already have the standing relationship with Del Lago Resort Casino for in person betting. The Michigan Gaming Control Board (MGCB) granted DK a provisional license to conduct online gaming and sports betting in the state of Michigan For this update I also want to be clear – retail (brick and mortar) and mobile sports betting are already legal in the state of Michigan. It’s just that there’s a lot of yellow tape for Sportsbooks like DK to navigate within a state even after sports betting has become legalized. This provisional license provided by the MGCB was provided to DK and 14 other sportsbooks (including rival FanDuel) on Thursday, December 10th last week. Now there are just a few more regulatory requirements that DK has to meet in the state of Michigan before they can go live. According to http://www.michigan.gov, “Before launch happens, the platform providers must complete additional regulatory requirements including independent testing of platforms and games and MGCB approval of their internal controls, which ensure gaming integrity. The firms also must secure occupational licenses for certain employees.” You can read the full article on Michigan’s government website here. Knowing that DK has a knack for being quick to mobilize once they’re given opportunities in respective states, I fully expect them to pass these last few tests with flying colors. The DK Sportsbook app has already been available in the state of Michigan for “free to enter” games. Once they pass the last few requirements, actual wagers will be allowed to be placed. And money will be allowed to be made! Another promising sign coming out of the state of Michigan, is that on November 30th, 2020, DK became an official sports betting partner of the Detroit Pistons, the NBA basketball team in Michigan. DK Chief Business Officer, Ezra Kucharz, was on the record after the deal closed saying “As our first professional team activation in the state of Michigan, we are thrilled to join forces with the Detroit Pistons ahead of our pending market introduction”. In my opinion, I anticipate we’ll be seeing DK online sports betting in Michigan some time in early 2021. This concludes my update and analysis on DraftKings. TL:DR
Draftkings now offers gift cards and you can buy them in convenience stores (first sports betting company to do so)
DraftKings received a provisional license to conduct sports gambling in Michigan
Governor Cuomo of NY said he would consider legalizing "mobile sports betting" to raise additional tax revenue
If you would like to read my original deep dive and analysis on DKNG, you can check it out here:
Inaccessible Supercharger could have left me stranded 😳
I arrived at the Waterloo, NY supercharger this evening with 8% charge, not enough to make it to the next charger. This charger is in the parking lot of a casino-resort that is understandably closed due to Covid-19. When I arrived I found the lot barricaded shut. Fortunately I ran into a security guard who graciously let me in, but she made it clear that I was lucky she was there, because if she had been inside I wouldn’t have been able to gain access. There was no indication in the nav. that accessibility of this charger was limited. I chatted with Tesla support and they ‘made a note’ in my account... While I lucked out, the next person who shows up might not be so lucky. I understand the circumstances, but surely there needs to be a process for site owners to notify Tesla of unusual conditions, or at the very least for drivers to flag problem chargers to help others.
*Edit: Miranda's comments are bolded... Hey there Miranda, it is really great of you to answer some questions about Pure Pwnage. The fans are really excited to hear what you have to say. Before I get to that, let me just say that everyone wants to offer their congratulations on being a mommy. Now then, on to the questions... Thanks for reaching out. I'm happy to answer questions to the community! 1) Jarett and Geoff once told the story about offering you the role as Tagi, but could you tell us from your point of view how that whole thing went down? There is a rumor that you thought they might be making an adult film or something...? There's no rumor, and if anything I'm the one that started it. I just have a terrible sense of humor. It started in 2004 (I think!) when I was asked about how I got involved with the series. I auditioned just like other people did. The way that I got an audition was that Geoff was working at my university as an RA and his girlfriend was in the same year as me, so we had lots of mutual friends. Geoff approached me in the dining hall one night and asked me if I wanted to audition, and I said yes. The joke that I started was that he said it's an "internet show" and if you remember, back in 2003 there was no such thing as an internet show. So I joked in an interview that it seemed like he was asking me to be apart of something much seedier than it was. Then the actual audition was more of an interview, which makes sense since the web series was very collaborative/ improvised humor was encouraged. So for the interview/ audition I went to Geoff's lodging, and Jarett was there (maybe others? It's been awhile, I don't exactly remember), and he was sitting behind a large desk, and I recall he had on sunglasses. But we all hit it off right away and had a good chat, and then the rest is history. 2) What was it like shooting Pure Pwnage? Was it a stick to the script type situation or was there a lot of ad libbing going on? It was definitely a scripted comedy, especially for characters like mine that had a lot of gaming dialogue when I knew nothing of WoW or gaming vernacular. However, because it was a comedy we did do some improvising to embellish a joke, or if we found a funny moment that made sense to the story. It was really fun to be collaborative in that way. 3) Tagi changed quite a bit from her initial appearance to her last scene in the web series, how much input did you have in her character? Not sure I understand the question. Do you mean appearance-wise from web series to film, or the character herself? In terms of appearance, I dyed my hair and Geoff and Jarett liked it and were cool with me keeping it that way for the movie. In terms of character, I agree that Tagi's character in the film is different from the web series. But I think it makes sense because the movie honors the passage of time that occurred from the web series and tv series so it makes sense to me that she's moved on, just like all the characters after several years. 4) Pure Pwnage was one of the, if not the biggest thing on the internet pre-YouTube. Did you have any notable interactions with the fans? Do you still get recognized as Tagi today? Shockingly, yes. And I say shockingly because I think it shocks me more than it shocks you when I get recognized. It always catches me off guard. But of course, it's always great that the show means and meant so much to so many. I've always had great interactions with the community, and I've travelled the world, and met up with fans or been recognized by fans, and it goes to show how small this world really is. In 2009 I had a great time in Italy and met up with Alessandro Schiassi who gave my husband (then boyfriend) and I a little tour of Milan, I went to Johannesburg and hung out with Dave Lee, and when we went to a casino there were PP fans there, and when I was in Scotland in 2012 on work, I was approached by a fan at the Edinburgh Fringe Festival. It happens on the streets of NYC, too, which always makes me laugh because I'm like, Gigi Hadid just walked by! You should be taking HER photo! 5) Piggybacking off of the last question, could you share your best and worst fan interactions? Best fan interaction was probably back in the height of the web series when we all went to the UK to premiere the newest episode (I think ep 9), and Jarett, Geoff, Stacey, and I all got to meet the European fans. Nothing specific, but I just remember there being so much love in the room, and it was the first time I realized how important the show was to so many. Before that our premieres had been localized so I thought that our fans were local to Canada. Worst fan interaction: there aren't many bad ones honestly so not much comes to mind. The only advice I can give is, just be yourself. I love meeting the fans and having a chat when the time and place makes sense. 6) The scene with Jeremy humping Tagi's head was pretty funny, how did that come about and what was your initial reaction to that scene? That was 100% scripted. My reaction is pretty much the reaction I give in the scene. I remember just being like "Okay... that's enough". I think that's part of what made that scene funny. Jeremy's reaction was so over-the-top and enthusiastic compared to Tagi's confusion/ annoyance/ sadness. 7) Was there anything you wished you could have done with the Tagi character? Anything you wish you could do with her in the future? I used to try and get Geoff and Jarett to write Tagi as the secret hero, haha. I wanted to return to the Big Bad narrative and for Jeremy and the clan to get stuck in some epic battle, and then if the Tagi break-up storyline has been implemented, which it had been in the web series, then out of the blue she could come and in a save him and they could have some huge battle/ victory. Or alternatively it would have been cool if Tagi could have gone to the dark side after Jeremy dumped her, and embrace some dark WoW villain alter ego. Then she would either be a permanent villain in the series or have the opportunity to be saved. But the show isn't about Tagi. The show has always been about Jeremy and his journey as a pro-gamer and that's the crux of the story and what the community relates to. I think the story has honored that narrative really well, and Tagi has served her role too. She she serves as a physcial manifestation of home and the things that are really important in Jeremy's life (his friends, his love for games, and his desire to help people pwn noobs better), so when they get back together I think it's symbolic of Jeremy coming home to his real self. 8) What was your husband's and family's reactions to Pure Pwnage? Does your husband realize how many guys grew up having a crush on Tagi? My husband has been around forever, and is used to it. I told a story a long time ago about when he was in university at Waterloo and he entered a computer lab and saw a bunch of guys watching PP on the screen, and he said "Yeah, that's my girlfriend" and the guys just laughed and were like, "Yeah right. That's my girlfriend too" because they didn't believe him. He didn't like that, haha. But he's cool with it. It doesn't affect my day-to-day like at all. 9) Looking back on Pure Pwnage, how do you feel about the web series? The web-series was a ton of fun, and my first time working with film. I had only done theatre up until that point, I was so young! I had just graduated from high school. It was great, and we got to run around Toronto and shoot wherever we wanted, and work with great comics, and it just felt like hanging out with friends and having a fun party. We had a ton of fun. 10) Have you watched the Pure Pwnage TV Show? If so, how do you feel it compares to the web series? I was in the US by the time the tv show came out so it wasn't until it came to hulu that I could have watched it. I haven't seen too much of it, but of course I watched it to support Jarett and Geoff and the gang. I can't really speak to the comparison of the tv series and the web show because the writing teams were so different, and you can't really compare writers on different projects even if the content is similar. I think the tv series succeeded in being it's own show, and the web series succeeded in being it's own show completely separate of each other. 11) Speaking of the TV Show, was there any reason you weren't in it? I'm sure there is a reason, but I'm not sure of the reason exactly. I never auditioned for the tv series, so I don't think Tagi was ever considered for the story line. The reason for that is much bigger than any of us could control and comes down to the network and the executives. 12) How do you think October from the TV Show compares to Tagi? They are both women who play WoW, and they both have a flirtation with Jeremy which is the biggest comparison. Otherwise I think they are very different characters, but I don't know enough about her storyline on the tv show to be able to give a more thorough analysis. I thought Melanie did an excellent job as October in what I saw, and I know she had a lot of fun working on the tv show. She was always really sweet every time we got together. 13) In the Pure Pwnage movie Tagi and Jeremy seemed to have reconciled, do you have any knowledge about what was supposed to have occurred between the web series an the movie? At the beginning of the movie I think they are just friends, which is pretty normal to me. I'm sure that Tagi and Jeremy, who have all the same friends, just figured out a way to move on and be friends. It's not until the end of the movie that we find out that maybe there was always something unresolved between them. 14) Tagi had very little screen time in the movie, was this a logistical decision or a story line one? Purely storyline. I think the focus of every Pure Pwnage narrative is about the hero's journey (Jeremy's journey) to overcome his demons such as his addiction to video gaming combined with his desire to "grow up and get a real job". So I don't think it was intentional, I think that the story is just staying true to the hero's journey. 15) Are you done with the Tagi character or would you be willing to come back for another movie or web series? If Geoff and Jarett want to continue making Pure Pwnage then I'm sure I'll be apart of it. 16) Is there anyway to get you to join Jarett and/or Geoff on another live stream? We could crowdfund you a plane ticket! If Jarett and Geoff want to do a live stream I'm sure we can all figure it out. But you gotta get Dave and Joel in there too. 17) Looking back at Tagi, how do you think she holds up? Not sure I understand the question. I have a clear idea about who she is, and it's up to me to get that across regardless of how prominent she is in the story. I think her character in the web series is so different from who she grew up to be in the movie, so not really sure how to tackle that question. 18) What are you up to these days? Anything you want to promote? I'm acting, and producing for film and tv in New York. You can easily see what I'm up to with a google search haha. I'm looking for $1 million financing for a feature in January written by my friend and collaborator, and about $10k for a short film I'll be acting in come September, so if you know of $1 million laying around that you can recommend to me, then let me know! hah! Also seeking distribution for a film I produced last summer "When We Grow Up" starring Cathy Curtin, which is currently in the film festival circuit. Other than that, I'm having a baby boy next month, and I'll be on NY Post social media content for Mother's Day talking about my pregnancy.
What are the best upstate casinos for people under 30?
There are a ton of casinos in upstate NY, and they're starting to pop up like weeds at this point. There's a huge off of the Waterloo exit that opened this year for example. Then there are others like the Hamburg Casino that has a clientele a little more akin to a bingo hall than a Vegas-style casino. So my question is, who brings Vegas to upstate NY the best? What's worth the drive? As a preface, I'm 21 and haven't gambled yet. I'm just curious. Edit: yes I've heard of Turning Stone from when I used to be in the Utica area a few years back, just never had the time to go when everyone else did
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NIGHT RANGER - "Crazy Train" [4/15/17 - Live at The Vine/Del Lago Casino in Waterloo, NY]
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