Keith Bachman, an analyst from BMO Capital, maintained the Buy rating on Smartsheet (SMAR – Research Report). The associated price target is $48.00.
Keith Bachman has given his Buy rating due to a combination of factors including Smartsheet’s potential to outperform in the near term and its attractive valuation. He predicts that the company can deliver modest outperformance to January quarter billings and revenues. Despite lowering the target price from $52 to $48, Bachman maintains an Outperform rating, highlighting the potential for revenue growth of 21-22% year-over-year against the consensus estimate of 20%. He also anticipates that Smartsheet could generate a similar upside in FY24 as it did in FY23, where it surpassed initial revenue guidance by 1.9%.
For FY25, Bachman suggests a more cautious view, projecting revenue and billings growth below the consensus estimates. He anticipates around 18% year-over-year revenue growth and approximately 17% for billings, compared to the consensus estimates of 19% and 20%, respectively. Furthermore, Bachman believes that the workflow market segment is promising and recognizes Smartsheet’s value proposition, driven by its technology and brand, which supports the company’s long-term competitive position in a market increasingly sensitive to valuation.
According to TipRanks, Bachman is a 5-star analyst with an average return of 11.2% and a 58.22% success rate. Bachman covers the Technology sector, focusing on stocks such as Datadog, Adobe, and Check Point.
See today’s best-performing 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.
Smartsheet (SMAR) Company Description:
Smartsheet, Inc. engages in the design and development of cloud-based platform for work management. It offers ways for customers to plan and manage their work using grids, projects, cards, and calendars. The company was founded by W. Eric Browne, Maria Colacurcio, John D. Creason, and Brent R. Frei in 2005 and is headquartered in Bellevue, WA.
Read More on SMAR:
- Buy/Sell: Wall Street’s top 10 stock calls this week
- Moderna downgraded, Gap upgraded: Wall Street’s top analyst calls
- Smartsheet initiated with an Underperform at BofA
- MNDY, SMAR: 2 “Strong Buy” Tech Stocks Hedge Funds Are Buying
- 5 Best Mid-Cap Stocks to Buy Now, According to Analysts – February 2024
