DraftKings Falls After Attack From Short That Hit Nikola (1)

DraftKings Inc. extended its losing streak to a fifth day after short seller Hindenburg Research said it was betting against the online gambling company.

Boston-based DraftKings -- which went public via a reverse merger in April 2020 -- plunged as much as 12% to $44.65 after the report before trimming losses to 4.2% on Tuesday. The drop marks the fifth-consecutive session of declines, the longest streak in a month.

Hindenburg disclosed a short position against the stock, meaning it will benefit from any drops in the shares. The short seller has recently waged other critiques against Lordstown Motors Corp. and ...