Genius Sports (NYSE:GENI) Downgraded by Zacks Research to Strong Sell

Zacks Research cut shares of Genius Sports (NYSE:GENI) from a hold rating to a strong sell rating in a research note issued to investors on Wednesday,Zacks reports.

Other research analysts also recently issued research reports about the company. Stifel Nicolaus decreased their price objective on Genius Sports from $8.50 to $7.00 and set a “hold” rating on the stock in a report on Monday, October 26th. Oppenheimer increased their target price on Genius Sports from $10.00 to $12.00 and gave the company an “outperform” rating in a report on Friday, August 7th. Benchmark restated a “buy” rating on shares of Genius Sports in a research report on Friday, August 28th. Freedom Capital raised Genius Sports to a “strong-buy” rating in a research note on Monday, July 20th. Finally, Roth Capital reaffirmed a “buy” rating and issued a $12.00 price target on shares of Genius Sports in a research note on Friday, August 7th. One analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $10.82.

Genius Sports Price Performance

Shares of NYSE:GENI opened at $5.91 on Wednesday. The stock has a market cap of $1.46 billion, a PE ratio of -8.69 and a beta of 1.95. The company’s fifty day moving average is $6.56 and its 200 day moving average is $6.23. Genius Sports has a 52 week low of $3.83 and a 52 week high of $11.57. The company has a quick ratio of 0.97, a current ratio of 0.97 and a debt-to-equity ratio of 1.10.

Genius Sports (NYSE:GENI) last posted its quarterly earnings results on Thursday, November 5th. The company reported ($0.06) earnings per share for the quarter, missing the consensus estimate of $0.01 by ($0.07). Genius Sports had a negative return on equity of 23.83% and a negative net margin of 22.99%. The business had revenue of $269.86 million during the quarter, compared to the consensus estimate of $261.13 million. During the same period in the prior year, the firm earned ($0.11) earnings per share. The business’s revenue for the quarter was up 62.3% on a year-over-year basis. Research analysts anticipate that Genius Sports will post -0.35 earnings per share for the current year.

Insider Buying and Selling

In related news, CEO Mark Locke sold 50,000 shares of the company’s stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $6.54, for a total transaction of $327,000.00. Following the completion of the transaction, the chief executive officer owned 19,375,216 shares in the company, valued at $126,713,912.64. This represents a 0.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Thomas Russell sold 50,000 shares of the company’s stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $6.51, for a total value of $325,500.00. Following the transaction, the insider owned 471,467 shares of the company’s stock, valued at approximately $3,069,250.17. This represents a 9.59% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 850,000 shares of company stock worth $5,582,049. Corporate insiders own 16.60% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Senvest Management LLC lifted its stake in shares of Genius Sports by 45.1% in the 1st quarter. Senvest Management LLC now owns 13,653,724 shares of the company’s stock valued at $60,486,000 after purchasing an additional 4,243,157 shares during the period. Amova Asset Management Americas Inc. boosted its position in shares of Genius Sports by 65.7% during the first quarter. Amova Asset Management Americas Inc. now owns 3,909,945 shares of the company’s stock valued at $17,321,000 after purchasing an additional 1,549,816 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. boosted its position in shares of Genius Sports by 65.7% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 3,909,945 shares of the company’s stock valued at $17,321,000 after purchasing an additional 1,549,816 shares in the last quarter. IFC Advisors LLC grew its stake in Genius Sports by 23.2% in the first quarter. IFC Advisors LLC now owns 3,583,833 shares of the company’s stock worth $15,876,000 after purchasing an additional 676,034 shares during the period. Finally, Allspring Global Investments Holdings LLC grew its stake in Genius Sports by 10.6% in the first quarter. Allspring Global Investments Holdings LLC now owns 3,557,178 shares of the company’s stock worth $16,150,000 after purchasing an additional 339,792 shares during the period. 81.91% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Genius Sports

Here are the key news stories impacting Genius Sports this week:

• Positive Sentiment: Q3 revenue rose 62.3% year over year to $269.86 million, beating the $261.13 million consensus estimate. The company also said it delivered $54 million in free cash flow, 61% free-cash-flow conversion, and a 32% group adjusted EBITDA margin. Read More.
• Positive Sentiment: Genius Sports raised its FY2026 outlook to $1.015 billion–$1.035 billion in revenue and $287 million–$297 million in adjusted EBITDA, citing its focus on free cash flow. Read More.
• Negative Sentiment: Q3 adjusted earnings per share were a loss of $0.06, missing the consensus estimate of $0.01 per share. Reports also flagged higher debt, which could temper the positive revenue and cash-flow news. Read More.
• Negative Sentiment: BTIG cut its price target from $10 to $8, though it maintained a Buy rating. The lower target may add to investor caution. Read More.

About Genius Sports

Genius Sports Limited (NYSE: GENI) is a sports technology and data company that provides official sports data, technology, and digital media solutions. Its platform helps sports organizations collect, manage, and distribute live game data while supporting fan engagement and commercial activities.

The company supplies real-time data and related products to sportsbooks, media companies, sports leagues, teams, and brands. Its services include live statistics, betting data and trading solutions, streaming and video content, digital marketing, sponsorship activation, and tools designed to connect sports audiences with content and advertising.

Genius Sports serves customers across international sports markets, including North America, Europe, and other regions.