Financial services giant macquarie he put his weight behind Genius Sports LimitedA sports betting data provider with an optimistic outlook better rating. The move comes as the company positions itself at the forefront of the rising wave of NFL betting, driven by factors such as regulatory changes, widespread adoption of sports betting, a shift to in-play betting, margin expansion, organic expansion and strategic growth. Mergers and Acquisitions.
Macquarie’s Chad Beynon Predicts Genius Sports Shares to Double in One to Two Years
Macquarie analyst Chad Beynon He outlined the catalysts contributing to Genius Sports’ potential growth, highlighting its role as a vital contributor to sports fan engagement. beynon one imagines doubling of company shares We attribute this growth over the next one to two years to the importance of Genius Sports’ player statistics, artificial intelligence (AI) data and its capacity to bring this data to life.
The report predicts a strong growth trajectory The Compound Annual Growth Rate (CAGR) for the North American online sports betting market is estimated to be 24% by 2026, resulting in gross gaming revenue of $22 billion. Macquarie recommends Genius Sports is in a good location Overcoming this growth curve is driven by increased event usage, introduction of new products and the growing popularity of in-play betting.
A notable factor working in favor of Genius Sports is the secure revenue stream guaranteed by Sports. National Football League (NFL)It is expected to reach a significant level $126 billion from media and TV deals. According to Beynon, Genius Sports now stands at the technological epicenter of the NFL’s rising tide, positioning itself as a major player in the world of sports betting.
Shares of Genius Sports Rise 2.27% After Macquarie Sets $11 Price Target
To measure bullish outlooks, Macquarie sets a price target of $11 At Genius Sports, this represents a 77.4% increase from the current closing price of $6.20. This valuation is based on a 15x multiple of 2026 EBITDA forecast and a free cash flow yield of 4.7%.
In response to Macquarie’s confirmation, Genius Sports increased by 2.27% It reached $6.30 in pre-market trading. This positive momentum comes on the heels of a year in which the company’s shares soared an impressive 73.67%, further solidifying its position as one of the best-performing sports betting stocks.
Last month, Genius Sports reported a significant development. 29.3% increase in Q3 revenuereaching 101.7 million dollars upward revision of full-year guidance.
With growth across all segments, including a notable 34.1% increase in the betting technology division, the company’s year-to-date revenue has increased by 21.3% to a total of $285.8 million, leading to adjusted full-year guidance of approximately $412.0 million in group revenue. opened and $53.0 million in group adjusted EBITDA.