RUSH STREET INTERACTIVE INC (NYSE:RSI) – A Strong Growth Candidate Meeting Minervini’s Criteria

RUSH STREET INTERACTIVE INC (NYSE:RSI) has been identified as a high-growth momentum stock that aligns with Mark Minervini’s Trend Template, making it a compelling candidate for investors focused on strong technicals and accelerating fundamentals. The company operates in the online gaming sector, with a presence across multiple U.S. states and international markets.

Why RSI Fits the Minervini Trend Template

Minervini’s strategy emphasizes stocks in strong uptrends with improving fundamentals. RSI meets these criteria:

• Price Above Key Moving Averages:

  • Current price ($14.55) is above the 50-day ($13.57), 150-day ($13.05), and 200-day ($12.73) moving averages.
  • The 50-day MA is above both the 150-day and 200-day MA, confirming bullish momentum.

• Upward-Trending Averages:

  • The 150-day and 200-day moving averages are rising, reinforcing long-term strength.

• Strong Relative Strength:

  • RSI outperforms 86% of all stocks and 74% of its industry peers (Hotels, Restaurants & Leisure).

• Price Near 52-Week High:

  • Trading within 13% of its 52-week high ($16.78), indicating sustained momentum.

High Growth Fundamentals

RSI exhibits strong earnings and revenue growth, a key factor for high-growth investors:

• Earnings Growth:

  • EPS (TTM) surged 933% YoY, with recent quarterly EPS growth of 200%.
  • The company has beaten EPS estimates in all of the last four quarters, with an average beat of 1,078%.

• Revenue Expansion:

  • Revenue grew 30% YoY, with consistent quarterly growth above 20%.
  • Revenue estimates have been exceeded in each of the last four quarters.

• Improving Profitability:

  • Profit margins expanded from 0.26% (FY) to 2.03% (latest quarter), signaling operational efficiency.

Technical Setup

The stock has a Technical Rating of 10/10 and a Setup Rating of 7/10, indicating a strong trend with a consolidating pattern. Key levels:

• Support: $14.50 (recent consolidation low).
• Resistance: $14.94 (breakout level).

A move above $14.94 could signal further upside, while a drop below $14.49 would invalidate the setup.

For a deeper technical breakdown, review the full technical report here.

Our High Growth Momentum + Trend Template screener lists more stocks with similar growth and technical strength.

Disclaimer

This is not investment advice. The analysis reflects observations at the time of writing, but market conditions change. Always conduct your own research before making investment decisions.