Goldman Sachs Downgrades ZipRecruiter, Cites Limited Visibility Into Overall Hiring Environment
Portfolio Pulse from Mohit Manghnani
Goldman Sachs analyst Sheridan downgraded ZipRecruiter (NYSE:ZIP) from Buy to Neutral with a $15 price target, citing limited visibility into the hiring environment and expecting short-term headwinds to persist into 2024. Despite a >20% share price increase since Q3 earnings, Sheridan cut revenue assumptions and projected Q4 revenue and EPS below consensus. He acknowledged long-term positives but sees balanced risk-reward in the near term. ZIP shares fell by 2% to $14.25.
January 19, 2024 | 8:52 pm
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Goldman Sachs downgraded ZipRecruiter to Neutral with a $15 price target, projecting short-term headwinds and Q4 revenue/EPS below consensus, despite long-term positives.
The downgrade by Goldman Sachs, a major financial institution, is likely to influence investor sentiment negatively, leading to a potential decrease in stock price in the short term. The projection of revenue and EPS below consensus further supports the likelihood of a negative impact on the stock price.
CONFIDENCE 90
IMPORTANCE 85
RELEVANCE 100