{"id":1942,"date":"2024-07-31T21:26:30","date_gmt":"2024-07-31T21:26:30","guid":{"rendered":"http:\/\/stakery.io\/?p=1942"},"modified":"2024-08-07T14:22:09","modified_gmt":"2024-08-07T14:22:09","slug":"poker-legend-hellmuth-sells-rush-street-interactive-stock-on-affiliate-news","status":"publish","type":"post","link":"http:\/\/stakery.io\/index.php\/2024\/07\/31\/poker-legend-hellmuth-sells-rush-street-interactive-stock-on-affiliate-news\/","title":{"rendered":"Poker Legend Hellmuth Sells Rush Street Interactive Stock on Affiliate News"},"content":{"rendered":"

Poker legend Phil Hellmuth said Tuesday that he liquidated his equity stake in Rush Street Interactive (NYSE: RSI) after the gaming company announced it will halt its affiliate program in the states in which it operates \u2014 a decision that was met with criticism in some gaming circles.<\/p>\n

\"\"
Poker legend Phil Hellmuth. He sold his equity position in Rush Street Interactive after the company ended its affiliate program. (Image: ESPN<\/em>)<\/figcaption><\/figure>\n

In a post on X (formerly Twitter) that Hellmuth stated was \u201cNOT investment advice,\u201d he did not mention Rush Street Interactive\u2019s decision to halt its affiliate platform. Rather, he expressed concern about macroeconomic conditions and broader market valuations.<\/p>\n

\n

Today I sold all of my shares (165,000 shares) of $rsi<\/a> stock at $10 a share. I still believe in @RSInteractive_<\/a>, but I\u2019m afraid of macro economics conditions. The SandP 500 seems overvalued to me: boats rise and fall w the level of the water, stocks rise and fall w the market,\u201d opined Hellmuth.<\/p>\n<\/blockquote>\n

In 2020, Hellmuth invested $300,000 in special purpose acquisition company (SPAC) dMY Technology Group Inc<\/a>., which that year merged with RSI, paving the way for the gaming company to go public. Based on that claim and his assertion that he sold 165,000 shares at $10 apiece equaling $1.65 million, Hellmuth\u2019s RSI investment grew more than fivefold.<\/p>\n

Perhaps Regrettable Timing in Hellmuth Sale of RSI Stock<\/h2>\n

There\u2019s no denying that Hellmuth\u2019s returns on Rush Street Interactive shares are enviable and selling a stock that\u2019s returned 161.36% in a year is an arguably prudent move, but it\u2019s possible that the 17-time World Series of Poker (WSOP) bracelet winner could have realized even more gains on RSI.<\/p>\n

\n

The company has long been rumored to be a takeover target<\/a> and if such a deal is formally announced, it\u2019d likely add the aforementioned rally. Beyond consolidation rumors, RSI has organic tailwinds, including surging revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA).<\/p>\n<\/div>\n

Late Wednesday, RSI reported second-quarter results while revising its 2024 sales forecast and its EBITDA guidance to $64 million to $72 million. That sent the stock higher by almost 10% in after-hours trading, as of this writing. Should the stock close at $11 on Thursday, that would represent $165,000 in missed profits for Hellmuth, though that\u2019s pennies for someone whose career poker earnings are north of $30 million.<\/p>\n

\u201cRSI expects revenue for the full year ending December 31, 2024 to be between $860 and $900 million, increasing the midpoint by $45 million compared to the prior guidance. At the midpoint of the range, revenue of $880 million represents 27% year-over-year growth when compared to $691 million of revenue for 2023,\u201d according to a statement issued by the Chicago-based gaming company.<\/strong><\/p>\n

Inside Rush Street Affiliate Decision<\/h2>\n

While Hellmuth didn\u2019t overtly say that his decision to dump RSI stock was sparked by the operator\u2019s decision to halt its affiliate program, the timing of the sale led to related speculation.<\/p>\n

Yesterday, RSI emailed affiliates in Arizona, Colorado, Illinois, Indiana, Louisiana, Maryland, Ohio, and Virginia to tell them that the affiliate program will end on Aug. 31. No reason was given for that decision and the gaming company told affiliates they must strike all RSI advertisments and tracking links from their sites by that day.<\/p>\n

Under the affiliate model, websites produce content related to iGaming, poker, and sports betting with links to various gaming companies\u2019 mobile apps and sites, earning commissions for referred bettors.<\/strong><\/p>\n

The post Poker Legend Hellmuth Sells Rush Street Interactive Stock on Affiliate News<\/a> appeared first on Casino.org<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Poker legend Phil Hellmuth said Tuesday that he liquidated his equity stake in Rush Street Interactive (NYSE: RSI) after the gaming company announced it will halt its affiliate program in the states in which it operates \u2014 a decision that was met with criticism in some gaming circles. Poker legend Phil Hellmuth. He sold his…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[16],"tags":[],"_links":{"self":[{"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/posts\/1942"}],"collection":[{"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/comments?post=1942"}],"version-history":[{"count":1,"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/posts\/1942\/revisions"}],"predecessor-version":[{"id":1943,"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/posts\/1942\/revisions\/1943"}],"wp:attachment":[{"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/media?parent=1942"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/categories?post=1942"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/stakery.io\/index.php\/wp-json\/wp\/v2\/tags?post=1942"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}