Sharplink Gaming Target of Unusually Large Options Trading (NASDAQ:SBET)

Key Points

• SharpLink Gaming saw unusually heavy options activity, with investors purchasing 33,831 call options—about 37% above its typical daily volume.
• Analyst sentiment remains broadly positive, with nine Buy ratings, one Hold, and one Sell; the stock carries a “Moderate Buy” consensus and an average price target of $16.50.
• Shares rose to $8.84, but the company reported a significant quarterly loss of $1.88 per share and revenue below expectations, alongside a negative net margin of 3,406.29%.

Sharplink Gaming Inc. (NASDAQ:SBET - Get Free Report) saw unusually large options trading on Friday. Stock investors purchased 33,831 call options on the stock. This is an increase of approximately 37% compared to the typical daily volume of 24,626 call options.

Wall Street Analyst Weigh In

SBET has been the subject of several research reports. Weiss Ratings raised Sharplink Gaming from a "sell (e+)" rating to a "sell (d-)" rating in a report on Monday, July 6th. Citigroup reiterated a "market outperform" rating on shares of Sharplink Gaming in a research note on Thursday, August 13th. Wall Street Zen raised Sharplink Gaming from a "strong sell" rating to a "sell" rating in a report on Sunday, August 30th. Canaccord Genuity Group lowered their target price on shares of Sharplink Gaming from $16.00 to $8.00 and set a "buy" rating on the stock in a research report on Tuesday, August 18th. Finally, Cantor Fitzgerald lifted their target price on shares of Sharplink Gaming from $8.30 to $17.00 and gave the company an "overweight" rating in a report on Thursday. Nine equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Sharplink Gaming has an average rating of "Moderate Buy" and an average target price of $16.50.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Caitong International Asset Management Co. Ltd purchased a new stake in Sharplink Gaming in the 3rd quarter valued at approximately $49,000. Empowered Funds LLC acquired a new stake in shares of Sharplink Gaming in the 4th quarter valued at approximately $56,000. Independent Financial Group LLC acquired a new stake in shares of Sharplink Gaming in the 1st quarter valued at approximately $65,000. Ameritas Advisory Services LLC purchased a new stake in shares of Sharplink Gaming in the second quarter valued at approximately $66,000. Finally, Koshinski Asset Management Inc. purchased a new stake in shares of Sharplink Gaming in the first quarter valued at approximately $71,000. 13.75% of the stock is currently owned by institutional investors and hedge funds.

Sharplink Gaming Stock Performance

Sharplink Gaming stock traded up $0.41 during mid-day trading on Friday, reaching $8.84. 11,462,137 shares of the company were exchanged, compared to its average volume of 8,059,086. Sharplink Gaming has a twelve month low of $4.46 and a twelve month high of $19.53. The firm's 50-day simple moving average is $6.82 and its two-hundred day simple moving average is $6.67. The firm has a market cap of $1.92 billion, a PE ratio of 177.90 and a beta of 10.56.

Sharplink Gaming (NASDAQ:SBET - Get Free Report) last released its earnings results on Saturday, August 8th. The company reported ($1.88) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.01 by ($1.89). Sharplink Gaming had a negative net margin of 3,406.29% and a negative return on equity of 33.40%. The company had revenue of $11.53 million during the quarter, compared to analyst estimates of $12.26 million. As a group, equities research analysts anticipate that Sharplink Gaming will post 0.12 EPS for the current year.

About Sharplink Gaming

SharpLink Gaming, Inc operates as an online technology company that connects sports fans, leagues, and sports websites to sports betting and iGaming content. The company operates through four segments: Affiliate Marketing Services United States, Affiliate Marketing Services International, Sports Gaming Client Services, and SportsHub Games Network. It operates a performance marketing platform, which owns and operates state-specific web domains to attract, acquire, and drive local sports betting and casino traffic directly to the company's sportsbook and casino partners, which are licensed to operate in each respective state; and offers sports betting data to sports media publishers.

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