Rush Street Interactive, Inc.

Fast-growing, newly-profitable online gaming operator with high ROE and strong free cash flow.

Strengths

• High ROE (22.6%, 80th pct) and ROA (70th pct) with top-decile FCF margin (90.9th pct)
• Revenue growth ~23% and a clean, liquid balance sheet (current/quick ratio 1.9, 85–90th pct)

Risks

• Thin net margin (2.9%) and only mid-pack gross margin (39th pct) in an intensely competitive, regulation-dependent market
• Brand/IP licensed from related party RSG and history of losses until recently

Notable findings

• Customer concentration~99% of revenue from one customer/distributor — Our B2C operations contributed more than 99% and 98% of our total revenue for the years ended December 31, 2025 and 2024, respectively and we expect that it will continue to be our primary operating m
• Strong balance sheetStrong balance sheet — $342M cash & investments