Paul Wierbicki, the Chief Legal Officer of Rush Street Interactive, Inc. (NYSE:RSI), recently sold 35,000 shares of the company's Class A common stock. The shares were sold at a weighted average price of $11.2312, with the total transaction amounting to $393,092. This sale was conducted under a 10b5-1 trading plan, which was established on August 9, 2024. Following this transaction, Wierbicki holds 139,982 shares of the company. The shares were sold in multiple transactions, with prices ranging from $11 to $11.505 per share.
In other recent news, Rush Street Interactive (RSI) has reported record growth for the third quarter of 2024, with revenues reaching $232 million, a 37% increase from the previous year. This marks the 15th consecutive period of revenue increase for the company since going public. Adjusted EBITDA also saw a significant rise, reaching $23 million, over five times the figure from the previous year.
Following these results, RSI has revised its 2024 revenue and EBITDA guidance upwards by 3% and 24% respectively. The company's Monthly Active Users (MAUs) have also seen substantial growth in both North America and Latin America. Additionally, RSI has announced a share buyback program of up to $50 million, boasting a strong cash position with no debt.
Recent developments suggest that RSI is exploring expansion into new markets, particularly in Latin America and Canada, and is open to potential acquisitions. Despite facing challenges with low hold rates in North American sports betting and potential regulatory risks, the company has expressed optimism about iGaming legalization momentum in various states. RSI is also preparing for a January launch in Brazil and planning market entries in Peru and possibly Alberta.
InvestingPro Insights
As Paul Wierbicki reduces his stake in Rush Street Interactive, Inc. (NYSE:RSI), investors might be curious about the company's current financial standing and market performance. According to InvestingPro data, RSI's market capitalization stands at $2.73 billion, reflecting its position in the online gaming industry.
The company has shown strong revenue growth, with a 30.31% increase in the last twelve months as of Q3 2024, reaching $863.77 million. This growth trend is further supported by an InvestingPro Tip indicating that analysts anticipate sales growth in the current year. Additionally, RSI's EBITDA has seen a remarkable growth of 177.59% over the same period, signaling improved operational efficiency.
Despite the recent insider sale, RSI's stock has demonstrated significant momentum. InvestingPro data reveals a robust 178.8% price total return over the past year, with the stock trading near its 52-week high at 99.34% of that level. This performance aligns with an InvestingPro Tip highlighting the stock's significant return over the last week and strong return over the last three months.
It's worth noting that while RSI is not currently profitable over the last twelve months, an InvestingPro Tip suggests that analysts predict the company will be profitable this year. This potential turnaround could be of interest to investors considering the stock's recent performance and growth metrics.
For those seeking a more comprehensive analysis, InvestingPro offers 17 additional tips for Rush Street Interactive, providing deeper insights into the company's financial health and market position.
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