Analyst Andrew Obin of Bank of America Securities maintained a Hold rating on Vontier (VNT – Research Report), with a price target of $34.00.
Geoff Meacham has given his Hold rating due to a combination of factors affecting Vontier’s market position and financial prospects. The recent acquisition of Invenco has provided Vontier a SaaS-based payments platform, iNFX, which is expected to drive growth within the Mobility Technologies segment, particularly as it captures more market share in gas station payments and software. However, even with the acquisition’s positive impact and the potential market share gains, there are concerns about the US retail fuel dispenser demand, which may remain subdued into 2024, prompting a cautious outlook on the stock.
Moreover, while Vontier’s alternative fuels offerings are showing scale and increasing margins, and its fleet telematics software/hardware solution, Teletrac Navman, is anticipated to experience high single-digit annual recurring revenue growth in 2023, these positive aspects are balanced against the broader market conditions and competitive dynamics. Given the market’s historically sticky nature and the company’s skewed client base towards larger gas station chains, the opportunity to expand into smaller chains with the SaaS-based iNFX platform is seen as a potential growth avenue, yet it’s not enough to warrant an upgrade from a Neutral stance at this time.
See Insiders’ Hot Stocks on TipRanks >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Vontier (VNT) Company Description:
Vontier Corp is an industrial technology company that offers critical technical equipment, components, software and services for manufacturing, repair and servicing in the mobility infrastructure industry. The company offers a wide range of solutions like environmental sensors, fueling equipment, field payment hardware, remote management and workflow software, vehicle tracking and fleet management software solutions for traffic light control and vehicle mechanics’ and technicians’ equipment.
Read More on VNT:
