Rush Street Interactive (NYSE: RSI) experienced a surge in its stock price following a bullish update from the company’s executives at the Needham Growth Conference. CEO Richard Schwartz and CFO Kyle Sauers participated in the event and shared positive commentary on the company’s performance, leading to a 12.63% increase in the stock price on Wednesday.
The executives highlighted the momentum gained by the company in the third quarter, which continued into October and December. Efficient bettor access to play proposition wagers contributed to higher hold for the operator, and their constructive comments on the fourth-quarter hold were well-received.
Rush Street Interactive, operating under the BetRivers and PlaySugarHouse brands, emphasized its Prop Central offering, providing bettors with a more comprehensive platform for pregame and live proper wagers across multiple sports.
In addition to its strong performance in the US, the company’s recent debut as the Delaware Lottery’s iGaming partner has been successful, and it expects to benefit from its exposure in Latin America. The company operates in several Latin American countries and is poised to take advantage of the potential sports betting market in Brazil.
Analyst Bernie McTernan from Needham maintained a “buy” rating on Rush Street Interactive, with a $6 price target. He highlighted the company’s focus on iGaming as a buffer against new entrants in the sports wagering field, such as ESPN Bet and Fanatics.
Overall, nine analysts cover Rush Street Interactive, with eight rating the stock “strong buy” or “buy.” The consensus price target on the shares is $6.44.
With a positive outlook for the company’s performance and market expansion plans, Rush Street Interactive is poised for further growth in the gaming industry.