Jordan Bender, an analyst from JMP Securities, maintained the Buy rating on Genius Sports Limited (GENI – Research Report). The associated price target was raised to $12.00.
Jordan Bender has given his Buy rating due to a combination of factors that highlight Genius Sports Limited’s strong financial performance and strategic positioning. The company reported a significant increase in revenue and EBITDA for the fourth quarter of 2024, surpassing expectations and demonstrating resilience in a challenging sports betting market. This performance was bolstered by strategic agreements with sports betting operators that mitigate downside risks and capitalize on positive market conditions.
Furthermore, Genius Sports achieved positive free cash flow for the first time in 2024, reflecting successful contract negotiations and revenue growth exceeding 20% annually. The outlook for 2025 remains positive, with projected revenue growth and EBITDA margins suggesting continued financial strength. The company’s strategic use of equity, debt, and free cash flow positions it well for future growth, potentially through mergers and acquisitions. This solid foundation and growth trajectory underpin Bender’s confidence in the company’s ability to achieve higher margins and scale in the coming years.
In another report released today, Needham also maintained a Buy rating on the stock with a $12.00 price target.