Gaming company Inspired (NASDAQ: INSE) will be reporting results tomorrow before market open. Here’s what to look for.
Inspired beat analysts’ revenue expectations by 5.3% last quarter, reporting revenues of $83 million, up 2.2% year on year. It was a strong quarter for the company, with a decent beat of analysts’ EPS and EBITDA estimates.
Is Inspired a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Inspired’s revenue to grow 6.4% year on year to $67.11 million, a reversal from the 2.8% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.16 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Inspired has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Inspired’s peers in the gaming solutions segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Rush Street Interactive delivered year-on-year revenue growth of 20.7%, beating analysts’ expectations by 0.5%, and Accel Entertainment reported revenues up 7.3%, topping estimates by 1.6%. Rush Street Interactive traded down 5.4% following the results while Accel Entertainment was up 4.7%.
Read our full analysis of Rush Street Interactive’s results here and Accel Entertainment’s results here.
There has been positive sentiment among investors in the gaming solutions segment, with share prices up 12.7% on average over the last month. Inspired is up 10.9% during the same time and is heading into earnings with an average analyst price target of $12.80 (compared to the current share price of $7.42).
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