Online casino and sports betting company Rush Street Interactive (NYSE:RSI) will be announcing earnings results this Wednesday after the bell. Here’s what investors should know.
Rush Street Interactive beat analysts’ revenue expectations by 0.5% last quarter, reporting revenues of $262.4 million, up 20.7% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ adjusted operating income estimates. It reported 203,000 monthly active users, up 15.3% year on year.
Is Rush Street Interactive a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Rush Street Interactive’s revenue to grow 13.5% year on year to $250.2 million, slowing from the 33.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.06 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Rush Street Interactive has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 6.1% on average.
Looking at Rush Street Interactive’s peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Churchill Downs delivered year-on-year revenue growth of 4.9%, beating analysts’ expectations by 1.4%, and Hasbro reported a revenue decline of 1.5%, topping estimates by 11.2%. Churchill Downs traded up 4.1% following the results while Hasbro was down 3.3%.
Read our full analysis of Churchill Downs’s results here and Hasbro’s results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 9.6% on average over the last month. Rush Street Interactive is up 4.6% during the same time and is heading into earnings with an average analyst price target of $16.25 (compared to the current share price of $15.58).
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