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Sportradar to Post Q4 Earnings: What's in Store for the Stock?

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Sportradar Group AG (SRAD - Free Report) is scheduled to report its fourth-quarter 2024 results on March 19.

Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.

In the last reported quarter, SRAD registered an earnings surprise of 500%.

Trend in Estimate Revision of SRAD

The Zacks Consensus Estimate for fourth-quarter earnings per share (EPS) is pegged at 4 cents, indicating a decline of 50% from 8 cents reported in the year-ago quarter.

For revenues, the consensus mark is pegged at $307.8 million. The projection suggests a 13.2% rise from the year-ago quarter’s reported figure.

Sportradar Group AG Price and EPS Surprise

Sportradar Group AG Price and EPS Surprise

Sportradar Group AG price-eps-surprise | Sportradar Group AG Quote

Let's take a look at how things have shaped up in the quarter.

Factors Likely to Shape SRAD’s Quarterly Results

Sportradar’s fourth-quarter performance is likely to have benefited from strategic partnerships, strong data-driven solutions and continued innovation in sports betting and media services.

Sportradar’s ability to secure long-term sports data rights, including deals with major leagues such as the NBA and ATP, is expected to have contributed to fourth-quarter revenue growth. The company’s advanced AI-driven products, such as 4Sight Streaming and Alpha Odds, may have played a role in driving customer engagement and expanding its footprint in the in-play betting market. Additionally, growth in the U.S. market is likely to have supported top-line expansion.

The company’s focus on high-margin technology solutions is expected to have supported profitability in the fourth quarter. By leveraging AI and machine learning to enhance betting and media offerings, SRAD has likely improved efficiency and pricing power.

The expansion of its Managed Trading Services is expected to have contributed positively in the fourth quarter. Furthermore, the company’s targeted marketing and advertising business may have aided its performance.

Increased sports rights costs, exchange rate fluctuations and increased competition are likely to have negatively impacted the company’s performance in the fourth quarter.

What Our Model Says About SRAD

Our proven model does not conclusively predict an earnings beat for Sportradar this time. A stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings. However, that's not the case here.

Earnings ESP for SRAD: Sportradar has an Earnings ESP of -20.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Sportradar’s Zacks Rank: Currently, the company sports a Zacks Rank #1.

Stocks With the Favorable Combination

Here are some stocks from the Zacks Consumer Discretionary space that investors may consider, as our model shows that these have the right combination of elements to deliver an earnings beat.

MGM Resorts International (MGM - Free Report) currently has an Earnings ESP of +6.16% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

MGM's earnings for the to-be-reported quarter are expected to decline 29.7% year over year. The company reported an earnings beat in the trailing three quarters and missed once, the average surprise being 21.8%.

Hilton Worldwide Holdings Inc. (HLT - Free Report) has an Earnings ESP of +1.52% and a Zacks Rank of 3 at present.

HLT reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 5.1%. The company’s earnings for the to-be-reported quarter are expected to grow 5.9% year over year.

Choice Hotels International, Inc. (CHH - Free Report) currently has an Earnings ESP of +2.65% and a Zacks Rank of 3.

CHH's earnings for the to-be-reported quarter are expected to grow 7.8% year over year. The company reported an earnings beat in the trailing three quarters and missed once, the average surprise being 7.5%.

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