Michael Burry said he bought shares in Flutter Entertainment and DraftKings, expecting prediction markets to face tighter regulation. He allocated about 60% of his position to Flutter and 40% to DraftKings, and indicated he might increase both holdings.
Investors can see how Burry’s expectation of tighter prediction-market regulation informs his Flutter and DraftKings holdings.
Quarter ended 30 September 2026
Quarter ended 30 September 2026
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Bank of America raised its DraftKings rating from Neutral to Buy on 8 October. Analyst Shaun Kelley retained a $27 price target after shares fell 19% over a month. The bank said earnings expectations might be approaching a low and cited reduced cannibalisation risk from prediction markets.
DraftKings shares touched $18.55 on Thursday before closing at $19.35, marking their lowest level in more than three years. Flutter shares also declined. The report linked investor concerns to weaker quarterly earnings, promotional spending and competition from prediction markets.
On Thursday, the sportsbook operator's stock touched roughly $18.55 and ended the session at $19.35, a level it had not seen in over three years. The slump was not confined to DraftKings: Flutter Entertainment, which owns FanDuel, was caught up in the same selling. Over the past year, the value of DraftKings shares has been cut by about half, the report noted.
Fanatics could increase its sports betting advertising spending to $1bn in the USA, citing chief executive Michael Rubin's comments to Bloomberg. The report describes the potential spending as part of an effort to challenge DraftKings and FanDuel.
Fanatics could raise its sports betting advertising spending in the USA to as much as $1bn in 2027, chief executive Michael Rubin told Bloomberg. The company expects to spend $350m on such advertising in 2026, according to the report.
Genius Sports chief executive Mark Locke said prediction-market activity could create opportunities for traditional betting suppliers even if regulation changes the sector. He said demand for sports wagering would persist, while the article reports that Kalshi’s retail demand was concentrated in states without online sportsbooks, citing July figures from Eilers & Krejcik.
Analysts cited in a research roundup discussed prediction markets’ potential effect on sports betting during the NFL season and Bally’s Chicago casino project. A Jefferies analyst said GLPI had committed $940 million to the development, with $475.7 million funded by 30 June, and noted investor attention on the project’s timeline and financing.