Light & Wonder, Inc. (LNWO) vs Rush Street Interactive, Inc. (RSI)

Light & Wonder, Inc. and Rush Street Interactive, Inc. are both Gambling companies. Light & Wonder, Inc. is the larger, with a market value of $7.0B against $2.7B — 2.6× the size. Light & Wonder, Inc. trades at the lower P/E: 21.8× against 24.3×. Rush Street Interactive, Inc. grew revenue faster over the last twelve months: 38.7% against 3.45%. Light & Wonder, Inc. has the higher net margin (8.70% vs 2.56%) and the higher return on invested capital (8.11% vs 0.00%). Across the 22 metrics below, Rush Street Interactive, Inc. leads on 14 and Light & Wonder, Inc. on 8.

Valuation

Metric LNWO RSI Gambling median
P/E 21.82 24.29 15.25
P/S 1.89 0.93 0.86
P/B 14.90 3.78 2.25
Price to free cash flow 11.94 7.63 15.25
EV/EBITDA 16.71 4.81 6.93
EV/Sales 3.33 0.67 1.43
Earnings yield 4.58% 4.12% (1.45%)
Free cash flow yield 8.37% 13.11% 4.52%

Profitability

Metric LNWO RSI Gambling median
Gross margin 74.70% 35.53% 48.54%
Operating margin 20.32% 10.87% 0.00%
Net margin 8.70% 2.56% (2.68%)
Free cash flow margin 28.06% 12.21% 7.20%
Return on equity 50.61% 11.84% 11.84%
Return on assets 4.52% 5.30% 0.00%
Return on invested capital 8.11% 0.00% 0.00%

Growth

Metric LNWO RSI Gambling median
Revenue growth (TTM) 3.45% 38.66% 9.84%
EPS growth (last fiscal year) (11.41%) 933.33% (11.41%)
Revenue growth, 5-year CAGR 14.30% 32.43% 23.46%
Net income growth, 5-year CAGR 0.00% 98.49% 0.00%

Health

Metric LNWO RSI Gambling median
Debt to equity 11.78 0.00 0.20
Current ratio 1.69 2.22 1.10
Net debt to EBITDA 4.50 (2.67) 0.45

Dividend

Metric LNWO RSI Gambling median
Dividend yield — — —
Payout ratio — — —

Size

Metric LNWO RSI Gambling median
Market cap 7.03b 2.74b 1.09b

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