Genius Sports (NYSE:GENI) Releases Earnings Results, Misses Estimates By $0.12 EPS

Key Points

• Genius reported Q1 EPS of -$0.21, missing estimates by $0.12, while revenue grew 30.5% year‑over‑year to $187.95M; the company remains unprofitable with negative net margin and return on equity.
• The company closed the Legend acquisition, which management says is immediately margin‑accretive and raised 2026 adjusted EBITDA margin guidance from 23% to 28%, pulling long‑term margin targets forward by two years.
• Management reiterated FY2026 targets of $990M–$1.01B revenue and $270M–$280M adjusted EBITDA, highlighted strong early traction for the new Moment Engine, and secured an $825M Term Loan A to support execution.

Genius Sports (NYSE:GENI - Get Free Report) announced its earnings results on Thursday. The company reported ($0.21) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.09) by ($0.12), FiscalAI reports. Genius Sports had a negative return on equity of 13.66% and a negative net margin of 16.67%.The company had revenue of $187.95 million for the quarter, compared to analyst estimates of $170.60 million. During the same quarter in the previous year, the company posted ($0.03) earnings per share. Genius Sports's revenue for the quarter was up 30.5% on a year-over-year basis.

Here are the key takeaways from Genius Sports' conference call:

• Legend acquisition closed; integration is underway and management says the deal is immediately margin‑accretive, raising 2026 adjusted EBITDA margin guidance from 23% to 28% and pulling long‑term margin targets forward by two years.
• Q1 showed broad-based strength with group revenue up 31%, adjusted EBITDA up 21%, betting +33% and media +22%, supported by 120%–130% net revenue retention and a geographically diversified customer base.
• The newly launched Moment Engine has rapid commercial traction (integrated with ~90% of the programmatic ecosystem, ~70 new advertisers) and early high‑yield advertiser wins (e.g., Samsung increased spend 220%), which management expects to drive high‑margin media revenue over time.
• Management highlighted a meaningful early opportunity in prediction markets—onboarding market makers to its low‑latency feeds and expecting incremental data and ad demand—but noted the regulatory framework is evolving and most upside is not yet included in guidance.
• Guidance and financing: full‑year 2026 revenue of $990M–$1.01B and adjusted EBITDA of $270M–$280M (Q2 ~ $185M revenue / $45M adj EBITDA); the company closed an $825M Term Loan A at SOFR+350bp with conservative sizing, expects a seasonal Q2 cash low point and ~ $100M of cash generation in H2 (50%–55% conversion), and targets improved FCF conversion into 2027–2028.

Genius Sports Stock Up 8.3%

NYSE GENI traded up $0.37 during trading hours on Thursday, hitting $4.77. The company's stock had a trading volume of 17,177,378 shares, compared to its average volume of 4,705,428. The stock has a fifty day moving average of $4.83 and a 200 day moving average of $8.00. Genius Sports has a twelve month low of $3.83 and a twelve month high of $13.73. The firm has a market capitalization of $1.17 billion, a P/E ratio of -11.08 and a beta of 1.80.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on GENI shares. Benchmark reiterated a "buy" rating on shares of Genius Sports in a research report on Thursday, March 5th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Genius Sports in a research report on Friday, March 27th. Wall Street Zen lowered shares of Genius Sports from a "hold" rating to a "sell" rating in a research report on Saturday, May 2nd. BTIG Research reduced their target price on shares of Genius Sports from $16.00 to $11.00 and set a "buy" rating on the stock in a research report on Thursday, March 5th. Finally, Wells Fargo & Company reduced their target price on shares of Genius Sports from $10.00 to $9.00 and set an "overweight" rating on the stock in a research report on Thursday, March 5th. Three investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $12.50.

Hedge Funds Weigh In On Genius Sports

Several large investors have recently bought and sold shares of the business. Prelude Capital Management LLC lifted its holdings in Genius Sports by 1.3% in the third quarter. Prelude Capital Management LLC now owns 92,529 shares of the company's stock valued at $1,146,000 after buying an additional 1,181 shares during the period. Cetera Investment Advisers lifted its holdings in Genius Sports by 10.0% in the second quarter. Cetera Investment Advisers now owns 15,288 shares of the company's stock valued at $159,000 after buying an additional 1,388 shares during the period. SkyView Investment Advisors LLC increased its stake in Genius Sports by 2.0% in the second quarter. SkyView Investment Advisors LLC now owns 77,289 shares of the company's stock valued at $802,000 after purchasing an additional 1,512 shares in the last quarter. Moors & Cabot Inc. increased its stake in Genius Sports by 28.6% in the third quarter. Moors & Cabot Inc. now owns 16,625 shares of the company's stock valued at $206,000 after purchasing an additional 3,700 shares in the last quarter. Finally, Natixis Advisors LLC increased its stake in Genius Sports by 17.9% in the third quarter. Natixis Advisors LLC now owns 25,364 shares of the company's stock valued at $314,000 after purchasing an additional 3,859 shares in the last quarter. 81.91% of the stock is currently owned by institutional investors and hedge funds.

Genius Sports Company Profile

Genius Sports is a global sports technology company that specializes in collecting, analyzing and distributing real-time sports data and video streams. The firm provides official data feeds, live video streaming solutions and digital engagement tools to sports leagues, federations, broadcasters and betting operators. By integrating data directly from sporting events through its network of field officials and proprietary technology, Genius Sports ensures accuracy and integrity for partners who rely on up-to-the-second information.

The company’s product suite includes a cloud-based platform for data capture and distribution, an integrity services offering designed to identify and mitigate match-fixing risks, and a suite of commercial products that power odds creation, in-game betting markets and fan engagement experiences.

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