With the business potentially at an important milestone, we thought we'd take a closer look at Genius Sports Limited's (NYSE:GENI) future prospects. Genius Sports Limited engages in the development and sale of technology-led products and services to the sports, sports betting, and sports media industries. With the latest financial year loss of US$86m and a trailing-twelve-month loss of US$73m, the US$2.0b market-cap company alleviated its loss by moving closer towards its target of breakeven. The most pressing concern for investors is Genius Sports' path to profitability – when will it breakeven? In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

Check out our latest analysis for Genius Sports

Genius Sports is bordering on breakeven, according to the 13 American Hospitality analysts. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$34m in 2026. The company is therefore projected to breakeven around 2 years from today. In order to meet this breakeven date, we calculated the rate at which the company must grow year-on-year. It turns out an average annual growth rate of 72% is expected, which signals high confidence from analysts. Should the business grow at a slower rate, it will become profitable at a later date than expected.

Given this is a high-level overview, we won’t go into details of Genius Sports' upcoming projects, however, keep in mind that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

One thing we’d like to point out is that The company has managed its capital judiciously, with debt making up 0.005% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are too many aspects of Genius Sports to cover in one brief article, but the key fundamentals for the company can all be found in one place – Genius Sports' company page on Simply Wall St. We've also put together a list of essential factors you should further research:

1. Valuation: What is Genius Sports worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Genius Sports is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Genius Sports’s board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.