Turning adversity into opportunity, Jefferies Equity Research analyst David Katz described recent weakness in Rush Street Interactive as a good chance to accumulate the stock. He reiterated a $39 per share price target for RSI in August 19 investor note. The shares were trading at $24.55 apiece at the time.
Katz contrasted “outsized growth” for RSI in Latin America and United States igaming with “flattish but profitable” US sports betting activity. “We see the accelerating margin of beat/raise quarters as compelling, with impacts from marketing spend and World Cup [comparisons] as less significant,” he wrote. RSI had beaten Wall Street expectations in 18 of the past 19 quarters.
