Below are George Soros’ top 5 stock picks. For a comprehensive list please see Is George Soros Still Good At Picking Stocks At The Age of 90?.
5. DraftKings Inc. (NASDAQ:DKNG)
Casinos and gaming company DraftKings Inc. (NASDAQ: DKNG) underperformed for George Soros fund during the fourth quarter but shares of DraftKings are still up 51% in the last six months. The fund first initiated a position in casinos and gaming company during the second quarter of 2020.
Although the overall hedge fund positions declined by 10 in the September quarter, it is still in 43 hedge fund portfolios. Alger Mid Cap Focus Fund highlighted the pros and cons of DraftKings in an investor’s letter. Here is what Alger Mid Cap Focus Fund stated:
“DraftKings is an online gaming operator. Its Daily Fantasy Sports (DFS) allows users to virtually draft teams of players from professional sports leagues and potentially earn a payout based on how well their teams compete with results driven by how athletes perform in real life. DraftKings Online Sports Betting (OSB) involves the company taking wagers or bets from customers on sporting events. DraftKings’ third offering. Online Casino, involves customers betting real money when playing casino games like slots and blackjack online. Investors’ concerns that DraftKings’ revenues could be hurt by the pandemic suspending sporting events have been unfounded with professional football, basketball, baseball, hockey and college football continuing without significant disruption, which has supported the performance of DraftKings’ shares. Additionally, DraftKings has entered a marketing deal with ESPN. which could potentially lower the gaming company’s customer acquisition costs as well as shut out competitors from using the channel for marketing. A record high level of sports betting in New Jersey during August, strong monthly results for online gaming in the same state and Pennsylvania results also supported the performance of DraftKings shares. Investors also responded favorably to DraftKings launching online sports betting in Illinois.”