Sharplink Gaming (NASDAQ:SBET) Trading Down 7.8% – Time to Sell?

Sharplink Gaming Inc. (NASDAQ:SBET)’s stock price dropped 7.8% on Friday . The stock traded as low as $6.05 and last traded at $5.9120. 1,402,141 shares changed hands during trading, a decline of 82% from the average daily volume of 7,929,535 shares. The stock had previously closed at $6.41.

Wall Street Analysts Forecast Growth

SBET has been the subject of a number of research reports. Cantor Fitzgerald lowered their target price on Sharplink Gaming from $10.50 to $8.10 and set an “overweight” rating for the company in a research note on Wednesday, July 1st. Alliance Global Partners reaffirmed a “buy” rating on shares of Sharplink Gaming in a research note on Monday, May 11th. Citigroup reiterated a “market outperform” rating on shares of Sharplink Gaming in a report on Thursday, July 9th. HC Wainwright assumed coverage on shares of Sharplink Gaming in a research report on Tuesday, April 7th. They set a “buy” rating and a $10.00 price objective for the company. Finally, Citizens Jmp dropped their price objective on shares of Sharplink Gaming to $30.00 and set a “market outperform” rating on the stock in a report on Thursday, July 9th. Nine research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $20.23.

Sharplink Gaming Price Performance

The company has a market capitalization of $1.21 billion, a price-to-earnings ratio of -9.99 and a beta of 10.45. The firm has a 50-day moving average price of $5.63 and a two-hundred day moving average price of $6.89.

Sharplink Gaming (NASDAQ:SBET) last announced its earnings results on Friday, May 8th. The company reported ($3.25) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.62) by ($2.63). The firm had revenue of $12.06 million during the quarter, compared to analyst estimates of $14.60 million. Sharplink Gaming had a negative net margin of 3,604.61% and a negative return on equity of 38.53%. During the same period in the prior year, the business posted ($1.84) EPS. On average, equities analysts predict that Sharplink Gaming Inc. will post 0.11 EPS for the current year.

Insider Activity

In other news, Director Leslie Bernhard sold 12,892 shares of Sharplink Gaming stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $7.41, for a total value of $95,529.72. Following the sale, the director directly owned 24,998 shares in the company, valued at $185,235.18. This trade represents a 34.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Robert M. Gutkowski sold 12,892 shares of the business’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $7.41, for a total transaction of $95,529.72. Following the completion of the sale, the director directly owned 24,998 shares in the company, valued at approximately $185,235.18. This represents a 34.02% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 38,676 shares of company stock worth $286,589 over the last ninety days. Insiders own 3.60% of the company’s stock.

Institutional Investors Weigh In On Sharplink Gaming

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Caitong International Asset Management Co. Ltd bought a new position in shares of Sharplink Gaming in the 3rd quarter valued at about $49,000. Empowered Funds LLC acquired a new stake in shares of Sharplink Gaming in the fourth quarter valued at about $56,000. Independent Financial Group LLC bought a new stake in Sharplink Gaming during the first quarter worth about $65,000. R Squared Ltd bought a new stake in Sharplink Gaming during the fourth quarter worth about $90,000. Finally, NewEdge Advisors LLC acquired a new position in Sharplink Gaming during the second quarter valued at approximately $101,000. 13.75% of the stock is owned by institutional investors.

About Sharplink Gaming

SharpLink Gaming, Inc operates as an online technology company that connects sports fans, leagues, and sports websites to sports betting and iGaming content. The company operates through four segments: Affiliate Marketing Services United States, Affiliate Marketing Services International, Sports Gaming Client Services, and SportsHub Games Network. It operates a performance marketing platform, which owns and operates state-specific web domains to attract, acquire, and drive local sports betting and casino traffic directly to the company's sportsbook and casino partners, which are licensed to operate in each respective state; and offers sports betting data to sports media publishers.