The fear of inflation and the way tech stocks have been pulling back is very real. But there’s a niche sector of tech stocks that operates outside of inflation. Let’s look at some of the best sports betting stocks of 2021 and answer an important question…
Is DraftKings stock a buy?
The world of sports betting is trending in a similar fashion to cannabis. State after state is legalizing the use of cannabis products as it moves toward full federal legalization.
Sports betting is the same way. More and more states are beginning to legalize it, and that’s making way for companies like Penn National Gaming Inc. (Nasdaq: PENN) and DraftKings Inc. (Nasdaq: DKNG). This is creating a debate on the best sports betting stocks.
We know that the Nasdaq isn’t where you want to put your money right now… But sports betting exists outside of that. This is becoming a way of life for people. It’s a place for people to spend their extra income.
Our long-term readers know about our “Buy It and Burn It” segment, where we buy a stock and short another — an example of our Money Links service. Well, sports betting is a part of that. So is DraftKings stock a buy?
Is DraftKings Stock a Buy as Sports Betting Takes Over?
DraftKings may be one of the best sports betting stocks of 2021.
For comparison, Penn Gaming made big moves when it acquired Barstool Sports, founded by Dave “Davey Day Trader” Portnoy — who we’re big fans of. Its stock is up 750% over a year and has done quite well.
And DraftKings is up over 550% on the year, which is a big move as well. But that’s a 192% differential. It lagged on the year.
That means DraftKings stock isn’t a buy…
Well, if we’re going to invest, we need to think about the long-term. DraftKings, in our opinion, is a bigger, better company with crazy potential.
It could be the Coca-Cola or Google of online sports betting. That’s nothing against Portnoy, but when you think of an online sports betting service, most minds go straight to DraftKings.
So is DraftKings stock a buy? If so, then what’s the short?
Take a look at our video below as we talk about some of the best sports betting stocks of 2021 — one to buy and one to burn — and give away a free trade from our Money Link service.
P.S. This volatility has some investors acting like gamblers with their retirement funds. Chasing lost money… panicking and buying… It’s sad.
Casinos can be fun, but leave the gambling mentality at the door when you’re trading.
If you can keep your head on your shoulders… and work a solid plan, history shows that these markets are exactly where you make your money.