Insider Trading July 2, 2026 06:04 PM

Rush Street Interactive's CEO Executes $4.94M Share Sale Under Pre-Arranged Plan

Insider activity and recent secondary offerings highlight liquidity events amid strong equity performance

By Avery Klein
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RSI

Richard Todd Schwartz, Chief Executive Officer and a director of Rush Street Interactive, Inc. (NASDAQ:RSI), executed a series of transactions on July 1, 2026, selling 158,334 shares of Class A Common Stock. The sales, conducted under a pre-arranged 10b5-1 trading plan, generated approximately $4,942,364 at a weighted average price of $31.2148 per share. This activity follows a broader secondary offering involving key executives and recent corporate structural adjustments.

Rush Street Interactive's CEO Executes $4.94M Share Sale Under Pre-Arranged Plan
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Key Points

  • CEO Richard Todd Schwartz sold 158,334 shares under a 10b5-1 plan, netting approximately $4.94 million at an average price of $31.21.
  • The sale coincides with RSI's stock trading near its 52-week high of $31.85, following a 112% annual gain.
  • A parallel $260 million secondary offering involved key executives selling shares for personal and estate planning purposes.

Richard Todd Schwartz, who serves as Chief Executive Officer and a director at Rush Street Interactive, Inc. (NASDAQ:RSI), completed a significant transaction on July 1, 2026, disposing of 158,334 shares of the company's Class A Common Stock. The execution of these sales occurred under the framework of a pre-arranged 10b5-1 trading plan, a mechanism often utilized to facilitate orderly liquidity events. The aggregate proceeds from this transaction were approximately $4,942,364. The weighted average price per share for this block was recorded at $31.2148, with the individual sale prices varying within a range of $29.95 to $31.66.

This transaction takes place against a backdrop of substantial equity appreciation for RSI. The stock is currently trading in close proximity to its 52-week high of $31.85. Over the preceding twelve-month period, the equity has demonstrated a remarkable 112% gain. Despite this robust performance, analysis from InvestingPro suggests that the stock may still present undervaluation characteristics, with 17 additional ProTips available to subscribers.

Regarding ownership structure, the 158,334 shares sold included 47,222 shares held directly by Mr. Schwartz. Following the completion of this direct sale, his direct ownership stake in Class A Common Stock stands at 374,036 shares. The transaction also involved the disposition of shares held by two affiliated trusts. An irrevocable trust disposed of 55,556 shares of Class A Common Stock, while a second trust also sold 55,556 shares of the same class. Post-transaction, both trusts hold no Class A Common Stock directly.

Preceding these sales, Mr. Schwartz and the affiliated trusts engaged in a structural exchange. They converted Class A Common Units of Rush Street Interactive, L.P. into Class A Common Stock. This conversion process necessitated the cancellation of an equivalent number of Class V Voting Stock. The Class V Voting Stock provides voting rights to its holder but carries no economic interest in the issuer.

In parallel market developments, Rogers Sugar Inc. announced a quarterly dividend of $0.09 per share. This distribution is payable to shareholders of record as of June 26, 2026, with the payment scheduled for July 15, 2026. The company confirmed that this dividend qualifies as an eligible dividend for income tax purposes. Meanwhile, Rush Street Interactive has been the subject of intense scrutiny following a $260 million secondary offering. This offering involved the sale of 10 million shares by trusts owned by key executives, including Executive Chairman Neil Bluhm, CEO Richard Schwartz, and COO Mattias Stetz. The offering was priced at $26.00 per share, with each executive selling less than 10% of their respective holdings for personal and estate planning purposes. The offering is expected to close on May 7, 2026, pending customary closing conditions. These developments are critical for investors assessing the financial and strategic positions of both companies.

Risks

  • The execution of significant insider sales may signal liquidity needs or valuation concerns to the market.
  • The cancellation of Class V Voting Stock in exchange for Class A Common Stock alters the company's capital structure and voting dynamics.
  • The reliance on pre-arranged 10b5-1 plans may obscure the timing and motivation behind insider transactions.

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