$GENI: The No-Brainer Play Before Earnings
Alright, I’m going to make this simple. Genius Sports ($GENI) is about to take off, and if you’re not paying attention, you’re going to be that guy watching from the sidelines. This stock is setting up technically, has a major catalyst on deck (earnings), and is riding industry momentum that’s only getting stronger. Let’s get into it.
1. Earnings Are Coming (March 4) – And They Look Good
We’re two weeks out from $GENI’s Q4 2024 earnings report, and the numbers already look solid:
• Revenue: Expected to hit $511M for 2024, up 24% YoY.
• EBITDA: Projected at $86M, a 61% increase.
• Cash Flow: Sitting on $135M in cash, up from $69M last quarter. That’s a huge boost in liquidity.
The company is clearly hitting its stride, and a strong earnings beat could send this stock moving fast.
2. The Chart Is Screaming “Breakout”
Look at the chart. Seriously, look at it.
• $10 is the final boss – Once this breaks, there’s nothing stopping this from running to $15.50, and after that, the next major resistance is around $22.
• Volume spike – The last breakout attempt had big volume behind it. Buyers are here.
• Momentum building – RSI is in the sweet spot, MACD is turning bullish, and we’re coiling under resistance. It’s only a matter of time.
This is the kind of setup you want to see before a big catalyst.
3. DraftKings Just Gave Us the Green Light
DraftKings ($DKNG) reported earnings, and they crushed it:
• Revenue up 13% YoY to $1.39B.
• Upping 2025 guidance to $6.3B-$6.6B.
• Most important: They’re investing heavily in live/in-game betting, which is exactly where $GENI makes its money.
Here’s why that matters:
• Genius Sports earns 3x more on in-game bets vs. pre-game bets.
• The Super Bowl saw record live betting this year.
• Every sportsbook is going all-in on live betting, and they need $GENI’s real-time data to make it happen.
DraftKings is basically telling us that the sector is booming, and Genius Sports is positioned to print money because of it.
4. The Play? It’s Simple.
• I’m holding 300+ $10 calls for April and July.
• Earnings are March 4 – expect volatility, but the setup is too good to ignore.
If this breaks $10 with volume, we’re looking at $15-$16 with soooo much room to run after.
TL;DR: $GENI is about to break out, earnings look strong, DraftKings just confirmed live betting (aka $GENI’s biggest money-maker) is growing like crazy, and we’re two weeks away from a major catalyst. The setup is there. Don’t miss out on probably the easiest play of the next few weeks, and possibly the year.