Box's Revenue Guidance Raises Concerns Amid Competitive Pressures, Says Analyst
Portfolio Pulse from Anusuya Lahiri
RBC Capital analyst Rishi Jaluria maintains an Underperform rating for Box Inc (NYSE:BOX) with a $21 price target, despite Box's better-than-expected Q2 results and raised guidance. Concerns include competitive pressures and potential commodification.
August 28, 2024 | 5:47 pm
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Box Inc reported Q2 revenue and EPS above expectations and raised its guidance for Q3 and fiscal year 2025. However, RBC Capital maintains an Underperform rating with a $21 price target due to competitive pressures and risks of commodification.
Despite Box's positive earnings report and raised guidance, the analyst's Underperform rating and $21 price target suggest concerns about competitive pressures and commodification risks. This could lead to a negative short-term impact on the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100