JPMorgan Chase & Co. Has Lowered Expectations for Rush Street Interactive (NYSE:RSI) Stock Price

Key Points

• JPMorgan lowered its price target for Rush Street Interactive from $30 to $22 and maintained a neutral rating, implying roughly 24.7% upside from the reported $17.64 share price.
• Despite JPMorgan’s cut, analysts remain broadly positive: RSI has a consensus “Moderate Buy” rating and an average price target of $32.36.
• Rush Street Interactive reported quarterly revenue of $393.78 million, up 46.3% year over year and above expectations, while the stock traded near the lower end of its 12-month range.

Rush Street Interactive (NYSE:RSI - Get Free Report) had its target price lowered by investment analysts at JPMorgan Chase & Co. from $30.00 to $22.00 in a research note issued to investors on Tuesday, Benzinga reports. The brokerage currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective would indicate a potential upside of 24.72% from the company's current price.

A number of other equities analysts have also issued reports on the stock. New Street Research set a $35.00 target price on shares of Rush Street Interactive in a research report on Thursday, July 23rd. Oppenheimer increased their price target on shares of Rush Street Interactive from $30.00 to $36.00 and gave the company an "outperform" rating in a report on Friday, July 24th. Needham & Company LLC increased their price target on shares of Rush Street Interactive from $33.00 to $36.00 and gave the company a "buy" rating in a report on Thursday, July 30th. Citizens Jmp restated a "market outperform" rating and issued a $34.00 price target on shares of Rush Street Interactive in a research report on Tuesday, September 22nd. Finally, Morgan Stanley started coverage on shares of Rush Street Interactive in a report on Monday. They set an "equal weight" rating and a $22.00 price objective on the stock. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and four have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $32.36.

Rush Street Interactive Trading Down 2.1%

NYSE:RSI traded down $0.37 during mid-day trading on Tuesday, hitting $17.64. 846,364 shares of the company's stock traded hands, compared to its average volume of 2,472,282. The firm has a market capitalization of $4.09 billion, a price-to-earnings ratio of 60.92 and a beta of 1.71. The firm has a 50 day moving average of $23.28 and a two-hundred day moving average of $26.13. Rush Street Interactive has a 12 month low of $15.51 and a 12 month high of $34.53.

Rush Street Interactive (NYSE:RSI - Get Free Report) last issued its quarterly earnings results on Wednesday, July 29th. The company reported $0.15 EPS for the quarter, hitting the consensus estimate of $0.15. Rush Street Interactive had a return on equity of 18.88% and a net margin of 2.33%. The company had revenue of $393.78 million for the quarter, compared to the consensus estimate of $367.75 million. During the same period in the previous year, the business posted $0.11 EPS. The company's revenue for the quarter was up 46.3% on a year-over-year basis. As a group, equities research analysts expect that Rush Street Interactive will post 0.49 earnings per share for the current year.

Insider Transactions at Rush Street Interactive

In other news, Director Jack A. Markell bought 1,500 shares of the business's stock in a transaction that occurred on Friday, September 25th. The stock was acquired at an average cost of $19.35 per share, for a total transaction of $29,025.00. Following the completion of the purchase, the director owned 18,883 shares of the company's stock, valued at $365,386.05. This trade represents a 8.63% increase in their position. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Kyle Sauers sold 23,000 shares of the firm's stock in a transaction on Monday, October 5th. The stock was sold at an average price of $20.31, for a total value of $467,130.00. Following the completion of the transaction, the chief financial officer directly owned 583,526 shares of the company's stock, valued at approximately $11,851,413.06. This trade represents a 3.79% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 603,998 shares of company stock worth $14,814,268 over the last quarter. 52.89% of the stock is owned by company insiders.

Institutional Investors Weigh In On Rush Street Interactive

A number of institutional investors have recently bought and sold shares of the business. Global Retirement Partners LLC acquired a new stake in shares of Rush Street Interactive during the 2nd quarter valued at about $35,000. CoreCap Advisors LLC acquired a new position in Rush Street Interactive in the second quarter worth about $54,000. Allworth Financial LP acquired a new position in Rush Street Interactive in the second quarter worth about $57,000. Integrated Wealth Concepts LLC acquired a new position in Rush Street Interactive in the second quarter worth about $70,000. Finally, Quantbot Technologies LP bought a new position in Rush Street Interactive during the second quarter worth about $98,000. Institutional investors and hedge funds own 24.78% of the company's stock.

About Rush Street Interactive

Rush Street Interactive, Inc is an online gaming and sports betting company that operates regulated internet casino and sportsbook platforms. Its primary consumer brands include BetRivers, PlaySugarHouse and RushBet, offering online casino games, sports wagering and related digital gaming products through websites and mobile applications.

The company serves customers in regulated markets across the United States and Latin America, with operations also extending to select international jurisdictions.

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