Financial services holding company Mizuho has said that the ongoing legal action against prediction markets in the US could influence gambling operator DraftKings’ share price, with a potential Supreme Court review emerging as a key factor in the company’s future performance.
DraftKings’ shares have fallen 27% this year, with Mizuho citing concerns over competition from prediction market platforms like Kalshi and Polymarket possibly taking market share.
Mizuho analyst Ben Chaiken said recent court decisions could eventually decide whether sports-related event contracts remain available but claims that such contracts will largely be unavailable over the medium term.
