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DKNG vs. SBUX: A Head-to-Head Stock Comparison

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Here’s a clear look at DKNG and SBUX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolDKNGSBUX
Company NameDraftKings Inc.Starbucks Corporation
CountryUnited StatesUnited States
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustryHotels, Restaurants & LeisureHotels, Restaurants & Leisure
Market Capitalization19.75 billion USD95.94 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateJuly 25, 2019June 26, 1992
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of DKNG and SBUX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

DKNG vs. SBUX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolDKNGSBUX
5-Day Price Return-12.92%0.39%
13-Week Price Return-12.80%-7.67%
26-Week Price Return-0.74%-13.65%
52-Week Price Return-7.33%-13.11%
Month-to-Date Return-22.05%-4.07%
Year-to-Date Return0.54%-7.29%
10-Day Avg. Volume12.62M8.98M
3-Month Avg. Volume9.48M9.31M
3-Month Volatility37.06%25.76%
Beta1.921.03

Profitability

Return on Equity (TTM)

DKNG

-30.68%

Hotels, Restaurants & Leisure Industry

Max
84.03%
Q3
40.12%
Median
17.38%
Q1
7.45%
Min
-33.94%

DKNG has a negative Return on Equity of -30.68%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

SBUX

115.68%

Hotels, Restaurants & Leisure Industry

Max
84.03%
Q3
40.12%
Median
17.38%
Q1
7.45%
Min
-33.94%

SBUX’s Return on Equity of 115.68% is exceptionally high, placing it well beyond the typical range for the Hotels, Restaurants & Leisure industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

DKNG vs. SBUX: A comparison of their Return on Equity (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Net Profit Margin (TTM)

DKNG

-5.63%

Hotels, Restaurants & Leisure Industry

Max
25.61%
Q3
14.65%
Median
8.66%
Q1
3.36%
Min
-9.83%

DKNG has a negative Net Profit Margin of -5.63%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

SBUX

7.18%

Hotels, Restaurants & Leisure Industry

Max
25.61%
Q3
14.65%
Median
8.66%
Q1
3.36%
Min
-9.83%

SBUX’s Net Profit Margin of 7.18% is aligned with the median group of its peers in the Hotels, Restaurants & Leisure industry. This indicates its ability to convert revenue into profit is typical for the sector.

DKNG vs. SBUX: A comparison of their Net Profit Margin (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Operating Profit Margin (TTM)

DKNG

-6.16%

Hotels, Restaurants & Leisure Industry

Max
45.80%
Q3
22.44%
Median
14.98%
Q1
6.59%
Min
-15.28%

DKNG has a negative Operating Profit Margin of -6.16%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

SBUX

10.81%

Hotels, Restaurants & Leisure Industry

Max
45.80%
Q3
22.44%
Median
14.98%
Q1
6.59%
Min
-15.28%

SBUX’s Operating Profit Margin of 10.81% is around the midpoint for the Hotels, Restaurants & Leisure industry, indicating that its efficiency in managing core business operations is typical for the sector.

DKNG vs. SBUX: A comparison of their Operating Profit Margin (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Profitability at a Glance

SymbolDKNGSBUX
Return on Equity (TTM)-30.68%115.68%
Return on Assets (TTM)-6.94%8.19%
Net Profit Margin (TTM)-5.63%7.18%
Operating Profit Margin (TTM)-6.16%10.81%
Gross Profit Margin (TTM)39.45%23.74%

Financial Strength

Current Ratio (MRQ)

DKNG

1.34

Hotels, Restaurants & Leisure Industry

Max
2.73
Q3
1.63
Median
1.12
Q1
0.73
Min
0.18

DKNG’s Current Ratio of 1.34 aligns with the median group of the Hotels, Restaurants & Leisure industry, indicating that its short-term liquidity is in line with its sector peers.

SBUX

0.76

Hotels, Restaurants & Leisure Industry

Max
2.73
Q3
1.63
Median
1.12
Q1
0.73
Min
0.18

SBUX’s Current Ratio of 0.76 aligns with the median group of the Hotels, Restaurants & Leisure industry, indicating that its short-term liquidity is in line with its sector peers.

DKNG vs. SBUX: A comparison of their Current Ratio (MRQ) against the Hotels, Restaurants & Leisure industry benchmark.

Debt-to-Equity Ratio (MRQ)

DKNG

1.82

Hotels, Restaurants & Leisure Industry

Max
11.29
Q3
4.71
Median
1.65
Q1
0.27
Min
0.00

DKNG’s Debt-to-Equity Ratio of 1.82 is typical for the Hotels, Restaurants & Leisure industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SBUX

8.07

Hotels, Restaurants & Leisure Industry

Max
11.29
Q3
4.71
Median
1.65
Q1
0.27
Min
0.00

SBUX’s leverage is in the upper quartile of the Hotels, Restaurants & Leisure industry, with a Debt-to-Equity Ratio of 8.07. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

DKNG vs. SBUX: A comparison of their Debt-to-Equity Ratio (MRQ) against the Hotels, Restaurants & Leisure industry benchmark.

Interest Coverage Ratio (TTM)

DKNG

-1,118.91

Hotels, Restaurants & Leisure Industry

Max
21.72
Q3
11.40
Median
4.02
Q1
1.19
Min
-11.84

DKNG has a negative Interest Coverage Ratio of -1,118.91. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

SBUX

37.01

Hotels, Restaurants & Leisure Industry

Max
21.72
Q3
11.40
Median
4.02
Q1
1.19
Min
-11.84

With an Interest Coverage Ratio of 37.01, SBUX demonstrates a superior capacity to service its debt, placing it well above the typical range for the Hotels, Restaurants & Leisure industry. This stems from either robust earnings or a conservative debt load.

DKNG vs. SBUX: A comparison of their Interest Coverage Ratio (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Financial Strength at a Glance

SymbolDKNGSBUX
Current Ratio (MRQ)1.340.76
Quick Ratio (MRQ)1.270.52
Debt-to-Equity Ratio (MRQ)1.828.07
Interest Coverage Ratio (TTM)-1,118.9137.01

Growth

Revenue Growth

DKNG vs. SBUX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DKNG vs. SBUX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DKNG

0.00%

Hotels, Restaurants & Leisure Industry

Max
6.81%
Q3
2.73%
Median
0.74%
Q1
0.00%
Min
0.00%

DKNG currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SBUX

2.84%

Hotels, Restaurants & Leisure Industry

Max
6.81%
Q3
2.73%
Median
0.74%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.84%, SBUX offers a more attractive income stream than most of its peers in the Hotels, Restaurants & Leisure industry, signaling a strong commitment to shareholder returns.

DKNG vs. SBUX: A comparison of their Dividend Yield (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Dividend Payout Ratio (TTM)

DKNG

0.00%

Hotels, Restaurants & Leisure Industry

Max
128.39%
Q3
61.60%
Median
21.91%
Q1
0.00%
Min
0.00%

DKNG has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SBUX

103.48%

Hotels, Restaurants & Leisure Industry

Max
128.39%
Q3
61.60%
Median
21.91%
Q1
0.00%
Min
0.00%

SBUX’s Dividend Payout Ratio of 103.48% is in the upper quartile for the Hotels, Restaurants & Leisure industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

DKNG vs. SBUX: A comparison of their Dividend Payout Ratio (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Dividend at a Glance

SymbolDKNGSBUX
Dividend Yield (TTM)0.00%2.84%
Dividend Payout Ratio (TTM)0.00%103.48%

Valuation

Price-to-Earnings Ratio (TTM)

DKNG

--

Hotels, Restaurants & Leisure Industry

Max
56.96
Q3
33.82
Median
21.30
Q1
15.75
Min
6.06

P/E Ratio data for DKNG is currently unavailable.

SBUX

36.43

Hotels, Restaurants & Leisure Industry

Max
56.96
Q3
33.82
Median
21.30
Q1
15.75
Min
6.06

A P/E Ratio of 36.43 places SBUX in the upper quartile for the Hotels, Restaurants & Leisure industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

DKNG vs. SBUX: A comparison of their Price-to-Earnings Ratio (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Price-to-Sales Ratio (TTM)

DKNG

3.23

Hotels, Restaurants & Leisure Industry

Max
7.19
Q3
3.99
Median
1.93
Q1
1.26
Min
0.17

DKNG’s P/S Ratio of 3.23 aligns with the market consensus for the Hotels, Restaurants & Leisure industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

SBUX

2.61

Hotels, Restaurants & Leisure Industry

Max
7.19
Q3
3.99
Median
1.93
Q1
1.26
Min
0.17

SBUX’s P/S Ratio of 2.61 aligns with the market consensus for the Hotels, Restaurants & Leisure industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

DKNG vs. SBUX: A comparison of their Price-to-Sales Ratio (TTM) against the Hotels, Restaurants & Leisure industry benchmark.

Price-to-Book Ratio (MRQ)

DKNG

21.08

Hotels, Restaurants & Leisure Industry

Max
24.89
Q3
11.60
Median
4.91
Q1
2.29
Min
0.37

DKNG’s P/B Ratio of 21.08 is in the upper tier for the Hotels, Restaurants & Leisure industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

SBUX

64.12

Hotels, Restaurants & Leisure Industry

Max
24.89
Q3
11.60
Median
4.91
Q1
2.29
Min
0.37

At 64.12, SBUX’s P/B Ratio is at an extreme premium to the Hotels, Restaurants & Leisure industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

DKNG vs. SBUX: A comparison of their Price-to-Book Ratio (MRQ) against the Hotels, Restaurants & Leisure industry benchmark.

Valuation at a Glance

SymbolDKNGSBUX
Price-to-Earnings Ratio (TTM)--36.43
Price-to-Sales Ratio (TTM)3.232.61
Price-to-Book Ratio (MRQ)21.0864.12
Price-to-Free Cash Flow Ratio (TTM)32.1637.60