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Shares of DraftKings (NASDAQ:DKNG) stock are surging higher after the U.S. Supreme Court declined to hear the West Flager Associates’s (WFA) case against the Seminole Tribe. In 2021, the tribe gained exclusive rights to online Florida sports betting under the notion that all sports betting occurs on tribal land because that is where the servers are located.

The WFA had claimed that online Florida sports betting should not have been approved by the Department of Interior because the betting does not physically take place on tribal land.

“The rejection of the case now paves the way for sports betting to continue unchallenged in Florida for the next several years,” said the Tampa Bay Times.

This is a huge positive for DraftKings, as other states, such as New Mexico, Washington and Wisconsin, could “expand upon those agreements and let the recognized tribal gaming nations in those states operate online sports betting across the state.”

Shares of DKNG stock are up by 25% year-to-date and 69% year-over-year, outperforming the S&P 500 on both timeframes.

The 5 Biggest Buyers of DKNG Stock

Tracking institutional ownership is important, as these large investors provide liquidity and support for stocks. During the first quarter, 789 13F filers disclosed a stake in DKNG, a solid increase of 7.06% compared to the prior quarter. In total, these filers own 339.96 million shares, up by 4.12% quarter-over-quarter. That’s a bullish signal.

Hedge funds, a subset of 13F filers, were also bullish. Total hedge fund filers increased by 4% to 182, while total shares owned increased by 9.19% to 136.3 million.

With that in mind, let’s take a look at the top buyers of DraftKings during Q1:

1. Wellington Management Group added 12.39 million shares, bringing its position to 23.12 million shares.
2. Marshall Wace added 5.26 million shares, bringing its position to 5.69 million shares.
3. Neuberger Berman Group added 3.36 million shares, bringing its position to 4.35 million shares.
4. Franklin Resources added 2.87 million shares after previously owning zero shares.
5. AQR Capital Management added 2.48 million shares, bringing its position to three million shares.

On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.