Sportradar Group AG (SRAD) AI Stock Analysis

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Sportradar Group AG

(NASDAQ:SRAD)

Rating:77Outperform

Price Target:

$32.00

▲(15.86% Upside)

Sportradar Group AG's strong financial performance and positive earnings call sentiment are the primary drivers of its stock score. The company's robust revenue growth and profitability, particularly in the U.S. market, are significant strengths. However, the high P/E ratio suggests overvaluation, which tempers the overall score. Technical indicators show a positive trend, but not strong enough to significantly boost the score.

Positive Factors

Earnings

Sportradar reported Q2 revenue growth of 14% year-over-year, surpassing consensus estimates.

Financial Performance

AEBITDA increased 31% YoY to €64M, also exceeding the €58M consensus, with AEBITDA margin expanding 254 basis points to 20.1%.

Strategic Positioning

Sportradar’s global scale and exclusive content rights, including NBA, NHL, MLB, anchor its position across sportsbooks and media firms.

Negative Factors

Market Competition

The stock is likely losing some of its seasonal momentum tied to U.S. sports betting rights, as investor attention may shift to Genius Sports.

Revenue Growth

Total revenue growth of 14% was below the company’s full-year revenue guidance growth target of 15.5%.

Valuation Concerns

Sportradar Group's stock has increased significantly in value, trading at a premium compared to its closest peer, which might limit further upside potential.

Sportradar Group AG (SRAD) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$8.59B

Dividend YieldN/A

Average Volume (3M)2.10M

Price to Earnings (P/E)68.6

Beta (1Y)1.09

Revenue Growth20.14%

EPS Growth335.82%

CountryUS

Employees4,582

SectorTechnology

Sector Strength98

IndustrySoftware - Application

Share Statistics

EPS (TTM)0.17

Shares Outstanding220,584,600

10 Day Avg. Volume2,143,888

30 Day Avg. Volume2,097,916

Financial Highlights & Ratios

PEG Ratio0.00

Price to Book (P/B)5.75

Price to Sales (P/S)4.81

P/FCF Ratio42.46

Enterprise Value/Market Cap1.01

Enterprise Value/Revenue7.53

Enterprise Value/Gross Profit12.07

Enterprise Value/Ebitda18.68

Forecast

1Y Price Target

$31.76

Price Target Upside14.99% Upside

Rating ConsensusStrong Buy

Number of Analyst Covering18

Sportradar Group AG Business Overview & Revenue Model

Company DescriptionSportradar Group AG (SRAD) is a global leader in sports data and technology, providing comprehensive data and digital content solutions to sports leagues, media companies, bookmakers, and sports federations. The company's core products and services include real-time data collection, data analytics, and digital content solutions, which are used by clients to enhance fan engagement, improve betting experiences, and drive operational efficiencies.

How the Company Makes MoneySportradar Group AG generates revenue primarily through a subscription-based model and data licensing agreements with a diverse range of clients, including sports leagues, media outlets, and betting operators. The company earns substantial income by providing real-time sports data and analytics to its clients, enabling them to offer enhanced betting and viewing experiences. Furthermore, Sportradar monetizes its services by offering integrity services to sports organizations, helping them detect and prevent match-fixing and other unethical practices. Significant strategic partnerships with major sports leagues and organizations, such as the NBA and FIFA, bolster Sportradar's revenue streams by expanding its reach and enhancing its product offerings.

Sportradar Group AG Earnings Call Summary

Earnings Call Date:Aug 05, 2025

(Q2-2025)

% Change Since: -6.47%|

Next Earnings Date:Nov 12, 2025

Earnings Call Sentiment Positive

Sportradar's earnings call reflects a largely positive sentiment, with strong revenue growth, particularly in the U.S. market, and significant increases in Managed Trading Services and adjusted EBITDA. While there were some challenges in the European sports rights market and fluctuations in advertising revenue, the highlights significantly outweigh the lowlights.

Q2-2025 Updates

Positive Updates

Record Quarterly Revenue

Sportradar reported all-time record quarterly revenues of $318 million, up 14% year-over-year, driven by higher product uptake from existing clients, incremental spend from new clients, and strong trading results from Managed Trading Services.

U.S. Market Growth

The U.S. market revenue grew by 30%, expanding to 28% of Sportradar's revenue mix, reflecting rapid market growth and strong demand for their content and product solutions.

Strong Performance in Managed Trading Services

Managed Trading Services saw turnover growth of 23% year-to-date, driven by the onboarding of 50 new sports books in 2024 and a robust pipeline of additional sports books.

Increased U.S. In-Play Betting

In-play betting in the U.S. has grown to approximately 50% of total betting, with expectations to exceed 70%, contributing significantly to EBITDA.

Adjusted EBITDA Growth

Adjusted EBITDA grew by 31% year-on-year to $64 million, with a margin expansion of approximately 250 basis points year-on-year to 20.1%.

Negative Updates

Challenges in European Sports Rights Market

Sportradar chose not to pursue the European League Soccer rights due to them being loss-making for previous holders and not fitting into their ROI criteria.

Quarterly Fluctuations in Advertising Revenue

Reported some choppiness in media and advertising revenue due to the timing of campaigns, although overall growth is expected for the year.

Company Guidance

During the Sportradar second quarter 2025 earnings call, the company announced an impressive 14% year-over-year revenue growth, reaching $318 million. This growth was driven by several factors, including a 30% increase in U.S. revenue and a 9% rise in international markets. The company's Managed Trading Services (MTS) experienced significant momentum with a 23% turnover growth. Sportradar's adjusted EBITDA grew by 31% to $64 million, with a margin expansion of approximately 250 basis points to 20.1%. The company also reported a strong customer net retention rate of 117% and achieved a 68% free cash flow conversion rate. Looking ahead, Sportradar raised its full-year outlook, projecting revenues of at least €1.278 billion and an adjusted EBITDA of at least €284 million, representing growth of at least 16% and 28%, respectively.

Sportradar Group AG Financial Statement Overview

Summary

Sportradar Group AG demonstrates strong financial health with consistent revenue growth and profitability. The company maintains a prudent balance sheet with low leverage, ensuring financial stability. Cash flow generation is strong, supporting operational and strategic flexibility. While some areas like operating margins and equity funding can be improved, the overall financial position remains solid and supportive of future growth.

Income Statement

Very Positive

Sportradar Group AG has shown consistent revenue growth, with a notable increase of 13.91% in the most recent period. The gross profit margin stands strong at 62.42% TTM, reflecting efficient cost management. Net profit margin also improved to 5.11% TTM, showcasing enhanced profitability. However, EBIT margin decreased to 10.79% TTM compared to the previous year, indicating a need to manage operating expenses effectively.

Balance Sheet

Positive

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.05 TTM, indicating minimal leverage and reduced financial risk. Return on equity is relatively stable at 6.05% TTM, suggesting decent returns for shareholders. However, the equity ratio of 38.32% TTM indicates room for improvement in asset funding through equity.

Cash Flow

Positive

Sportradar exhibits strong cash flow generation with a significant increase in free cash flow by 25.53% TTM. The operating cash flow to net income ratio is robust at 6.58 TTM, indicating effective cash conversion from profits. However, the free cash flow to net income ratio of 2.67 TTM shows potential for better free cash flow generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.15B	1.11B	877.62M	730.19M	561.20M	404.92M
Gross Profit	719.09M	628.55M	700.05M	571.92M	453.57M	321.71M
EBITDA	464.65M	418.59M	285.01M	242.64M	180.98M	171.20M
Net Income	58.93M	34.15M	34.66M	10.89M	12.57M	15.24M
Balance Sheet
Total Assets	2.54B	2.29B	2.25B	1.39B	1.77B	957.02M
Cash, Cash Equivalents and Short-Term Investments	357.82M	348.36M	277.17M	243.76M	742.77M	385.54M
Total Debt	51.40M	46.72M	50.15M	22.84M	435.35M	438.68M
Total Liabilities	1.56B	1.36B	1.37B	631.63M	1.04B	792.88M
Stockholders Equity	974.67M	925.15M	867.79M	751.59M	738.82M	167.28M
Cash Flow
Free Cash Flow	157.34M	125.36M	58.37M	5.52M	1.47M	57.31M
Operating Cash Flow	388.08M	353.01M	258.64M	168.08M	132.22M	151.26M
Investing Cash Flow	-254.81M	-254.88M	-202.09M	-246.57M	-333.77M	-98.14M
Financing Cash Flow	-47.77M	-36.75M	-17.63M	-459.85M	539.77M	274.54M

Sportradar Group AG Technical Analysis

Technical Analysis Sentiment

Neutral

Last Price27.62

Price Trends

50DMA

27.21

Positive

100DMA

25.01

Positive

200DMA

21.64

Positive

Market Momentum

MACD

0.19

Positive

RSI

44.54

Neutral

STOCH

46.29

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRAD, the sentiment is Neutral. The current price of 27.62 is below the 20-day moving average (MA) of 28.96, above the 50-day MA of 27.21, and above the 200-day MA of 21.64, indicating a neutral trend. The MACD of 0.19 indicates Positive momentum. The RSI at 44.54 is Neutral, neither overbought nor oversold. The STOCH value of 46.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SRAD.

Sportradar Group AG Risk Analysis

Sportradar Group AG disclosed 60 risk factors in its most recent earnings report. Sportradar Group AG reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 1 New Risks

The requirements of being a public company may strain our resources and divert management's attention, and additional legal, accounting and compliance expenses may be greater than we anticipate. Q4, 2023

Sportradar Group AG Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SRAD	77 Outperform	$8.59B	68.60	11.80%	―	20.14%	335.82%
BILL	74 Outperform	$4.20B	482.28	0.97%	―	14.52%	―
ZETA	71 Outperform	$4.41B	―	-8.21%	―	40.60%	79.56%
U	63 Neutral	$14.05B	―	-13.62%	―	-13.74%	48.10%
Sector *	61 Neutral	$36.04B	6.25	-9.40%	2.02%	7.67%	-3.03%
GRND	54 Neutral	$3.08B	―	-76.08%	―	28.35%	24.57%
KC	52 Neutral	$3.85B	―	-33.09%	―	13.85%	3.47%

* Technology Sector Average

Performance Comparison

SRAD

Sportradar Group AG

27.62

16.33

144.64%

BILL

Bill.com Holdings

40.74

-5.75

-12.37%

Kingsoft Cloud Holdings

13.55

11.02

435.57%

Unity Software

33.25

18.04

118.61%

GRND

Grindr

15.69

3.86

32.63%

ZETA

Zeta Global Holdings Corp

18.73

-4.28

-18.60%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 06, 2025