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Stock impact report

3 Consumer Stocks We Steer Clear Of [Yahoo! Finance]

Rush Street Interactive, Inc. Class A (RSI) 
Company Research Source: Yahoo! Finance
This sensitive demand profile can cause discretionary stocks to plummet when macro uncertainty enters the fray, and over the past six months, the industry has shed 9.8%. This performance is a stark contrast from the S&P 500's 2.3% gain. A cautious approach is imperative when dabbling in these companies as many also lack recurring revenue characteristics and ride short-term fads. Keeping that in mind, here are three consumer stocks that may face trouble. Rush Street Interactive (RSI) Market Cap: $2.13 billion Specializing in online casino gaming and sports betting, Rush Street Interactive (NYSE:RSI) is an operator of digital gaming platforms. Why Do We Pass on RSI? Performance surrounding its monthly active users has lagged its peers Responsiveness to unforeseen market trends is restricted due to its substandard operating margin profitability Free cash flow margin is not anticipated to grow over the next year Rush Street Interactive is trading at $20.33 per share, or Show less Read more
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