Illinois Tax Hike Sinks DraftKings and FanDuel Stocks

DraftKings Inc. shares dropped 11.6% to $36.09 after the Illinois Senate passed a budget raising taxes on gross gaming revenue by over 140%. Despite this, historical trends suggest a potential rebound, with past similar signals leading to an average 12.9% one-month gain. The stock remains up 54% over the last year and is at its year-to-date breakeven level. Options trading may be favorable now due to low volatility expectations.