Analyst Brent Bracelin of Piper Sandler maintained a Buy rating on AvidXchange Holdings (AVDX – Research Report), with a price target of $12.00.
Brent Bracelin from Piper Sandler firm has recommended a Buy rating for AvidXchange Holdings, Inc. (AVDX) based on a multitude of factors. Despite a slowdown in TPV growth for the sixth consecutive quarter, AVDX’s yields and float revenue showed impressive growth, contributing to a notable increase in the top line. In addition, a focus on stringent expense management led to the expansion of EBITDA margin to 12%, which points to the firm’s financial health.
Furthermore, Bracelin is optimistic about the potential impact of new products like Invoice Accelerator 2.0, and partnerships such as the white-label deal with AppFolio. These initiatives, along with the continued increase in yields, could sustain a 15% top-line growth in 2024, in spite of macroeconomic headwinds. Finally, AVDX’s revenue growth and cost reduction strategies have improved margins and yields, which can offset any downside risks to growth, making AVDX’s stock an attractive buy.
Bracelin covers the Technology sector, focusing on stocks such as Microsoft, Adobe, and Freshworks. According to TipRanks, Bracelin has an average return of 1.5% and a 44.65% success rate on recommended stocks.
In another report released on November 7, Susquehanna also maintained a Buy rating on the stock with a $11.00 price target.
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AvidXchange Holdings (AVDX) Company Description:
AvidXchange Holdings Inc is a provider of AP automation software and payment solutions for middle-market businesses and their suppliers. It generates the majority of its sales from Payment revenue followed by Software revenue and Services revenue.
Read More on AVDX:
- AvidXchange Announces Partnership with AppFolio to Enhance AP Automation Benefits for its 19,000 Real Estate Customers
- AvidXchange announces partnership with AppFolio
- AvidXchange raises FY23 revenue view to $374.5M-$375.5M from $368.0M-$370.0M
- AvidXchange Announces Third Quarter 2023 Financial Results
- AvidXchange reports Q3 EPS (4c), consensus (3c)
