Investing.com -- Bank of America upgraded Blackline Inc (NASDAQ:BL) to "Buy" from "Underperform" given improving fundamentals and a well-positioned business strategy that could drive revenue growth. The brokerage also raised its price target to $75 from $50.
BlackLine, an accounting automation software provider, introduced a new pricing and packaging strategy alongside its next-generation platform, Studio360, at its October BeyondTheBlack event. BofA said these initiatives could boost platform usage and monetization, supporting a revenue reacceleration.
BofA noted BlackLine’s management overhaul and strategic shifts over the past two years, stating that the company is now set for its next growth phase. BofA raised its 2025 revenue forecast to $712.8 million, above the $710.5 million consensus, and increased its free cash flow estimate by 12.2% to $175.4 million.
With BlackLine’s preannounced fourth-quarter results reducing downside risks, BofA expects "beat-and-raise" quarters ahead. The new price target values BlackLine at 8.2 times its estimated 2025 revenue, a premium to small-cap software peers, reflecting confidence in the company’s execution.
Related Articles
BofA raises BlackLine stock rating to 'buy' on growth prospects
BofA cuts rating on PagerDuty stock to 'underperform' on slowing growth
ASML to stop publishing most-closely watched metric - bookings
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。