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Rush Street Interactive Stock Jumps on Bullish Wall Street Calls

ENTHMSVIIDZHZH-TWJAKOHI
Sep 22, 20261 min read
Rush Street Interactive Stock Jumps on Bullish Wall Street Calls
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Background

Shares of Rush Street Interactive (RSI) rallied in pre-market trading after two Wall Street firms issued bullish notes on the online gaming company, with both Stifel and Citizens setting a $34 price target.

The stock rose 4.8% in pre-open trading, a move attributed directly to the new analyst coverage rather than broader market trends.

Stifel and Citizens See Significant Upside

Stifel initiated coverage on RSI with a Buy rating, calling it the "only publicly-listed U.S.-focused iCasino-led online gambling pure-play." In a note, analyst Jeffrey Stantial highlighted the company's "unique scarcity value" and recommended that investors use the recent two-month pullback as a buying opportunity.

Separately, Citizens reiterated its Market Outperform rating and its own $34 price target. The firm argued that the stock's approximate 17% decline over the prior week was disconnected from the company’s underlying financial health.

Strong Fundamentals and Valuation Cited

Citizens pointed to several key strengths to justify its positive outlook, including:

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  • Revenue growth exceeding 40%
  • A completely debt-free balance sheet
  • A valuation of just 14x 2027 consensus EBITDA, which it called a steep discount to its 22x target multiple.

Stifel also noted that ongoing regulatory developments, such as recent court rulings on prediction markets, present a lower disruption risk to RSI’s iCasino-first business model compared to its peers in the sports betting sector.

Market Reaction

The convergence of two independent, bullish calls with identical price targets created a compelling catalyst for investors. RSI shares moved toward an early high of $23.24, a significant increase from its recent trading level of around $21.57.

The broader market offered a muted backdrop, with the S&P 500 up only slightly, confirming that RSI's surge was driven by these company-specific factors.

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