Impinj Hits A High Note As Analyst Raises Forecast, Citing Retail RFID Tag Expansion
Portfolio Pulse from Lekha Gupta
Needham analyst James Ricchiuti raised the price target for Impinj Inc (PI) to $115 from $85 and maintained a Buy rating, reflecting optimism for better-than-expected Q4 2023 results. Impinj now expects revenue over $70 million, surpassing prior guidance and consensus estimates, with adjusted EBITDA of more than $2.5 million. The increase is attributed to higher endpoint revenue and sequential growth in systems revenue. Management sees early-stage growth with enterprise customers and potential for leveraging solutions with other partners. The retail apparel inventory overhang is nearing an end, and PI is expected to return to strong growth in H2 FY24 and FY25. Ricchiuti raised FY24 revenue estimates to $329.0 million and introduced an FY25 estimate of $400.5 million. PI shares rose 3.49% to $94.25.
January 18, 2024 | 6:31 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
Needham analyst James Ricchiuti raised Impinj's price target to $115 and maintained a Buy rating due to expected strong Q4 2023 results and growth potential. Impinj's shares rose following the updated guidance and positive analyst outlook.
The raised price target and maintained Buy rating by a respected analyst, along with the company's own positive guidance update, are strong indicators of potential short-term stock appreciation. The market's positive reaction, as evidenced by the share price increase, supports this outlook.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100