Lightspeed Commerce (NYSE:LSPD) Stock Price Expected to Rise, TD Securities Analyst Says

Lightspeed Commerce (NYSE:LSPD) recently received a positive update from analysts at TD Securities. They raised their target price for the stock from $15.00 to $19.00 in a report shared on Friday. The brokerage has designated the stock with a "hold" rating, indicating a cautious approach for investors. The new price target suggests that there is potential for a rise of about 10.47% based on the stock's current trading price.

In addition to TD Securities, several other analysts have also provided updates regarding their forecasts for Lightspeed Commerce. For example, Piper Sandler revised their price target down from $17.00 to $15.00 while maintaining a "neutral" rating on the stock on August 2nd. Meanwhile, Benchmark lifted their target from $20.00 to $21.00, issuing a "buy" rating on the stock.

Another notable change came from Jefferies Financial Group, who reduced their price target from $22.00 to $20.00 and gave it a "hold" rating. Similarly, Wells Fargo lowered their target from $17.00 to $15.00, specifying an "equal weight" rating. In contrast, BMO Capital Markets raised their price target from $18.00 to $20.00, giving the stock an "outperform" rating.

In total, one analyst has suggested selling the stock, nine have advised holding it, while six have assigned a buying rating, and one has given a strong buy rating. According to data from MarketBeat.com, the overall consensus rating is "Hold" with an average price target of $19.75.

Recent Stock Performance

On the trading floor, Lightspeed Commerce's stock saw a slight increase of 1.5% on Friday, reaching a price of $17.20 per share. The day's trading volume stood at 636,457 shares against an average volume of around 1,107,032. Over the past year, the stock has traded between a low of $11.01 and a high of $21.71. Currently, the company holds a market capitalization of approximately $2.61 billion, with a price-to-earnings ratio of -17.46 and a beta of 2.35. The company's financial stability is reflected in a very low debt-to-equity ratio of 0.01 and current ratios well above the benchmark.

Earnings and Future Expectations

Lightspeed Commerce announced its quarterly earnings on November 7th, reporting earnings per share (EPS) of $0.03, which surpassed the analysts' expectations of $0.02 by a small margin. However, the company displayed a negative net margin of 15.55% and a negative return on equity of 0.99%. The revenue for this quarter was $277.18 million, slightly above the expected $273.90 million. Looking ahead, analysts are projecting that the company will achieve an EPS of 0.05 for the current fiscal year.

Institutional Investor Activity

A look at institutional investment reveals that several investors have been adjusting their holdings in Lightspeed Commerce. Notably, Toronto Dominion Bank increased its stake by an impressive 102.8% during the second quarter, acquiring an additional 3,482 shares to reach 6,870 total shares, valued at $94,000. Other firms like Headlands Technologies and Aigen Investment Management also established new positions in the company recently.

Currently, institutional investors hold 68.68% of Lightspeed's stock. This indicates a substantial level of confidence in the company’s future potential amidst changing market conditions.

In conclusion, the positive adjustments from analysts, along with the recent performance trends and institutional interest in Lightspeed Commerce, are creating an optimistic outlook for its stock in the near future.

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