Investing for the Future; 2Q26 Digital Gaming Preview

Research evidence excerpt

Investing for the Future; 2Q26 Digital Gaming Preview

USA | Gaming EquityJulyResearch17, 2026

KEY STOCKS FEATURED INCLUDE:Investing for the Future; 2Q26 Digital Gaming

TICKER RATING PRICE TARGETPreview

DKNG BUY $44.00

We enter 2Q results with a balanced view, believing customer acquisition was RSI BUY $38.00

the primary focus as operators strengthened player bases ahead of the NFL SRAD HOLD $15.00

season. The World Cup appears to have driven meaningful new customer GAMB BUY $5.00

growth, broadly in line with expectations, while the opportunity in prediction

markets remains promising but unproven. Our view remains that RSI is the top

pick, given what we believe is the cleanest setup for the balance of 2026.

KEY CHANGES INCLUDE:

Our view is that the quarter can be distilled into two key themes: 1) Prediction markets are TICKER RATING PRICE TARGET

becoming an increasingly important strategic consideration across the sector, and 2) the World Cup DKNG BUY $44.00 ($46.00)

is driving meaningful engagement. As a result, 2Q results may reflect decelerating growth trends as

RSI BUY $38.00 ($32.00)

operators position themselves to realize returns on recent investments in 2H. For the balance of the

year, the likely winners will be those that can demonstrate a clear path to profitability improvement. SRAD HOLD $15.00 ($13.00)

We believe RSI has the cleanest setup, given its domestic iGaming focus, which should limit the GAMB BUY $5.00 ($6.00)

impact from prediction markets, while its Latin America exposure appears best positioned to benefit

from World Cup-related tailwinds. Supporting this view, downloads for its Latam app, RushBet,

increased +163% in June. Chart 1 - Rushbet Downloads Continue to

Demonstrate Latam Penetration

RSl: The Winner of the World Cup.