Genius Sports (NYSE:GENI) Cut to "Strong Sell" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Genius Sports to “strong sell” from “sell,” contrasting with the broader analyst consensus of “Moderate Buy” and an average price target of $11.25.
• Genius Sports reported quarterly revenue of $195.5 million, up 64.7% year over year and above estimates, but its EPS loss of $0.28 missed expectations of a $0.07 loss.
• The stock opened at $6.38, while insiders sold 850,000 shares worth approximately $5.6 million over the past 90 days; institutional investors own 81.91% of the company.

Genius Sports (NYSE:GENI - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "sell" rating to a "strong sell" rating in a research note issued on Saturday, Wall Street Zen reports.

Other equities analysts have also issued research reports about the stock. The Goldman Sachs Group reissued a "buy" rating and issued a $10.50 price objective on shares of Genius Sports in a research report on Friday, August 7th. Freedom Capital raised shares of Genius Sports to a "strong-buy" rating in a research note on Monday, July 20th. BTIG Research raised their target price on shares of Genius Sports from $9.00 to $10.00 and gave the stock a "buy" rating in a research report on Thursday, August 6th. Benchmark reaffirmed a "buy" rating on shares of Genius Sports in a research note on Friday, August 28th. Finally, Weiss Ratings upgraded Genius Sports from a "sell (e+)" rating to a "sell (d-)" rating in a report on Monday, August 3rd. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $11.25.

Genius Sports Stock Down 1.3%

Shares of NYSE:GENI opened at $6.38 on Friday. The company has a quick ratio of 0.97, a current ratio of 0.97 and a debt-to-equity ratio of 1.10. The company has a market capitalization of $1.57 billion, a P/E ratio of -9.38 and a beta of 1.91. Genius Sports has a 52-week low of $3.83 and a 52-week high of $11.57. The stock's fifty day simple moving average is $6.67 and its 200-day simple moving average is $6.30.

Genius Sports (NYSE:GENI - Get Free Report) last posted its quarterly earnings data on Friday, August 7th. The company reported ($0.28) EPS for the quarter, missing analysts' consensus estimates of ($0.07) by ($0.21). Genius Sports had a negative return on equity of 23.83% and a negative net margin of 22.99%. The company had revenue of $195.50 million for the quarter, compared to analysts' expectations of $184.43 million. During the same quarter in the prior year, the business posted ($0.21) EPS. The company's revenue for the quarter was up 64.7% compared to the same quarter last year. As a group, equities research analysts forecast that Genius Sports will post -0.35 earnings per share for the current fiscal year.

Insider Transactions at Genius Sports

In other news, CEO Mark Locke sold 477,449 shares of the stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $6.58, for a total transaction of $3,141,614.42. Following the transaction, the chief executive officer directly owned 19,697,767 shares in the company, valued at $129,611,306.86. This represents a 2.37% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Thomas Russell sold 50,000 shares of the stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $6.51, for a total transaction of $325,500.00. Following the transaction, the insider owned 471,467 shares in the company, valued at approximately $3,069,250.17. The trade was a 9.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 850,000 shares of company stock valued at $5,582,049. Corporate insiders own 16.60% of the company's stock.

Hedge Funds Weigh In On Genius Sports

A number of hedge funds have recently made changes to their positions in GENI. Senvest Management LLC lifted its position in Genius Sports by 45.1% during the first quarter. Senvest Management LLC now owns 13,653,724 shares of the company's stock valued at $60,486,000 after buying an additional 4,243,157 shares in the last quarter. Stephens Investment Management Group LLC grew its stake in Genius Sports by 35.1% during the first quarter. Stephens Investment Management Group LLC now owns 7,598,359 shares of the company's stock worth $33,661,000 after buying an additional 1,974,043 shares during the period. Amova Asset Management Americas Inc. increased its position in shares of Genius Sports by 65.7% in the first quarter. Amova Asset Management Americas Inc. now owns 3,909,945 shares of the company's stock worth $17,321,000 after acquiring an additional 1,549,816 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. increased its position in shares of Genius Sports by 65.7% in the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 3,909,945 shares of the company's stock worth $17,321,000 after acquiring an additional 1,549,816 shares in the last quarter. Finally, IFC Advisors LLC increased its position in shares of Genius Sports by 23.2% in the first quarter. IFC Advisors LLC now owns 3,583,833 shares of the company's stock worth $15,876,000 after acquiring an additional 676,034 shares in the last quarter. Institutional investors and hedge funds own 81.91% of the company's stock.

About Genius Sports

Genius Sports Limited NYSE: GENI is a sports technology and data company that provides official sports data, technology, and digital media solutions. Its platform helps sports organizations collect, manage, and distribute live game data while supporting fan engagement and commercial activities.

The company supplies real-time data and related products to sportsbooks, media companies, sports leagues, teams, and brands. Its services include live statistics, betting data and trading solutions, streaming and video content, digital marketing, sponsorship activation, and tools designed to connect sports audiences with content and advertising.

Genius Sports serves customers across international sports markets, including North America, Europe, and other regions.

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