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Rush Street Interactive CEO sells $2.63 million in stock

Published 12/10/2024, 08:30 PM
RSI
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Richard Todd Schwartz, CEO of Rush Street Interactive, Inc. (NYSE:RSI), a company whose stock has surged over 200% year-to-date and maintains a market capitalization of $3.05 billion, recently sold shares amounting to approximately $2.63 million, according to an SEC filing. According to InvestingPro analysis, the company shows strong momentum with revenue growth exceeding 30% in the last twelve months. The transactions took place on December 9 and 10, 2024, involving the sale of 45,256 shares at a weighted average price of $13.5071 per share, and 148,649 shares at a weighted average price of $13.5669 per share.

Prior to these sales, Schwartz exchanged 193,905 Class A Common Units for an equivalent number of Class A Common Stock shares, with an equivalent number of Class V Voting Stock shares being canceled as part of the transaction. These actions were conducted as part of a pre-established 10b5-1 trading plan dated August 16, 2024. Following these transactions, Schwartz directly owns 1,613,578 shares of Rush Street Interactive.

In other recent news, Rush Street Interactive (RSI) reported record-breaking growth for the third quarter of 2024. The company's revenues surged to $232 million, marking a 37% increase year-over-year. The adjusted EBITDA also experienced a significant rise to $23 million, reflecting a more than fivefold increase from the previous year. These results led RSI to raise its 2024 revenue guidance by 3% and its EBITDA guidance by a substantial 24%.

In addition to the financial growth, RSI reported a significant increase in Monthly Active Users (MAUs) in both North America (28%) and Latin America (122%). The company also announced a share buyback program of up to $50 million and reported a strong cash position with $216 million in unrestricted cash and no debt. RSI is exploring expansion into new markets, particularly focusing on Latin America and Canada, and is open to potential acquisitions.

Despite these positive developments, RSI faces challenges with low hold rates in North American sports betting and potential regulatory risks, including possible tax increases. However, the company remains optimistic about iGaming legalization momentum in various states and the potential for market growth in regions like Brazil, Peru, and Alberta. These are among the notable recent developments for RSI.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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