Billionaire Ken Griffin’s 10 Midcap Stock Picks with Huge Upside Potential

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1. DraftKings Inc. (NASDAQ:DKNG)

Stock Upside Potential:   60.58%

Citadel Investment Group’s Stake: $334,578,325

DraftKings Inc. is a digital sports entertainment and gaming company. The company offers daily fantasy sports, digital lottery courier, sports betting, media, and other products. It also provides online casino products, including baccarat, blackjack, slot machines, and roulette.

CFRA Research upgraded the company from Hold to Buy, citing its strong position in the US mobile sports betting market. The firm anticipates DKNG to grow 30% in 2025 and sustain over 80% market leadership, becoming more profitable through cost-cutting. It set a price target of $52 for the company, given its attractive valuation and defensive profile.

Analyst Zachary Warring mentioned:

DKNG shares have fallen over 30% since it released its Q4 earnings, which we believe provides a great entry point for shares.

DraftKings came in second at the Jefferies’ ranking of sports betting and iGaming brands. According to Jefferies analyst David Katz, the firm’s market share and performance are strongly correlated. Jefferies has a Buy rating on the stock.

The company also earned an upgrade from BMO Capital Markets with an Outperform rating ahead of its Q1 earnings report. The firm named it a Top Pick, citing attractive valuation despite potential short-term earnings weakness. Analyst Brian Pitz thinks that DraftKings is well-positioned for long-term growth. Adjusted EBITDA growth rates are predicted to be 40% and 30% for the next 3 years and 5 years, respectively.

While we acknowledge the potential of DKNG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than DKNG but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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