Instacart (CART), also known as Maplebear Inc., saw its stock soar 9.35% in pre-market trading on Friday following the release of its first-quarter 2025 results and a series of analyst price target upgrades. The grocery delivery giant's strong performance and positive outlook have significantly boosted investor confidence, despite slightly missing earnings expectations.
Instacart reported Q1 adjusted earnings of 37 cents per share, falling short of the analysts' consensus estimate of 39 cents. However, the company's revenue rose 9.4% year-over-year to $897 million, nearly meeting the expected $898.02 million. The company showcased impressive growth metrics, with a 10% increase in Gross Transaction Value (GTV) and a 14% rise in order growth, marking the strongest performance in 10 quarters.
Following the earnings release, several major financial institutions raised their price targets for Instacart. Barclays increased its target from $58 to $61, JP Morgan from $44 to $50, and Deutsche Bank from $39 to $41. These upgrades reflect growing optimism about Instacart's business model and future prospects. The company's focus on innovation, including AI-driven improvements and the strategic acquisition of Wynshop to enhance its enterprise offerings, has resonated well with analysts and investors alike, contributing to the significant pre-market stock surge.
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