Fanatics' commerce mix commands premium

The valuation gap shows how much public markets discount pure betting revenue versus a mixed sports commerce model with more ways to monetize the same fan. DraftKings and Flutter are bigger or faster growing in wagering, but their public multiples sit near 1.8x and 1.1x 2025 revenue, while Fanatics was marked at 3.5x because it combines lower frequency merch sales, repeat card buying, and betting into one customer base and one brand.1 2 3 4

• DraftKings reached $6.05B of 2025 revenue, up 27% from $4.77B, with 93% of revenue still tied to sportsbook and iGaming. That makes its growth easier to read, but also ties value more directly to hold rates, promotions, taxes, and state by state regulation.1 5
• Flutter did $16.4B of 2025 revenue, up 17% year over year, across FanDuel and a global portfolio of betting brands. Its lower revenue multiple reflects scale and maturity, but also the fact that most of that revenue still comes from gambling rather than higher multiple commerce or collectibles businesses.2 3
• The core comparison is not size, it is business mix. Fanatics can sell a jersey after a title win, a card pack before the next game, and a wager on the same event. DraftKings and FanDuel mostly monetize the fan at the moment of betting, which narrows both frequency and margin levers.4 6 7

Going forward, the companies that win the highest valuations will be the ones that turn sports attention into multiple transactions, not just one bet. If Fanatics keeps growing gaming without losing its commerce and collectibles base, it will keep looking less like a sportsbook and more like the broadest consumer platform in sports.4 6 7