SRAD Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
Buy SRAD now. The stock is technically washed-out (deeply oversold) right above support, options positioning is strongly call-skewed, and Wall Street remains broadly bullish with price targets far above the current ~$18 level despite some recent target trims. With no negative news catalyst in the last week and sentiment/positioning supportive, SRAD offers an attractive near-term rebound setup even though the higher-timeframe trend is still bearish.
Trend is bearish but stretched. Moving averages are stacked bearishly (SMA_200 > SMA_20 > SMA_5), confirming a broader downtrend. However, momentum is showing early signs of stabilization: MACD histogram is negative (-0.0602) but contracting (selling pressure easing). RSI(6) at ~22.75 signals oversold conditions (often associated with short-term bounce potential). Key levels: current price ~$18.10 sits just above S1 support at 17.862 (next support S2 at 17.374). First reclaim level is the pivot at 18.65; upside resistance is R1 19.439 then R2 19.927. Given how close price is to support and how oversold RSI is, the risk/reward favors a bounce attempt from here.
Strong Street conviction: multiple Buy/Overweight ratings with targets mostly $28–$37, implying substantial upside from ~$
Sector narrative tailwinds cited by analysts: recurring/predictable revenues, low churn, and a 'picks & shovels' role in online sports betting growth; Guggenheim named SRAD a Best Idea for
Technical setup: oversold RSI near support increases probability of a reflex bounce.
Options positioning: very low put/call ratios (OI and volume) suggest bullish sentiment/positioning.
Price trend is still down: bearish moving-average stack indicates SRAD has not regained an uptrend yet.
Earnings pressure in latest reported quarter: net income and EPS declined materially YoY, which can keep the stock 'headline-sensitive' around future prints/guidance updates.
Some price target reductions recently (even while ratings stayed positive) signal tempered near-term expectations for the gaming space.
Latest quarter provided: 2025/Q3. Revenue grew to $292.1M (+14.45% YoY), showing healthy top-line momentum. Profitability weakened: net income fell to $22.5M (-39.70% YoY) and EPS to $0.07 (-41.67% YoY). Gross margin improved slightly to 53.79% (+0.60% YoY), suggesting underlying unit economics remain solid even as bottom-line results dipped (likely due to operating/other costs). Overall: growth is good, but earnings volatility is the current blemish.
Analyst trend: ratings remain overwhelmingly positive (Buy/Overweight/Outperform), but several firms trimmed price targets over the past months (e.g., JPMorgan $35->$30, UBS $39->$35, Citi $34->$28, Jefferies $32->$30, Citizens $36->$34), reflecting more cautious sector sentiment. Offsetting that, Guggenheim raised its target to $35 and labeled SRAD a Best Idea for 2026, and Stifel/Wells Fargo initiated with Buy/Overweight. Wall Street pros: durable 'picks & shovels' exposure to sports betting, recurring revenue, wide moat/rights portfolio, upsell potential, attractive long-term growth. Cons: near-term sector negativity and the company’s recent bottom-line decline, plus the stock’s current downtrend. Influential/political trading: no recent congress trading data available; hedge funds and insiders show neutral activity.
