Overview

• Mitek fiscal Q3 revenue up 2% yr/yr, beating analyst expectations, per LSEG data

• SaaS revenue grows 23% yr/yr, indicating strong demand for identity solutions

Outlook

• Mitek tightens full-year revenue guidance to $174 mln-$177 mln

• Company narrows full-year adjusted EBITDA margin to 28%-29%

Result Drivers

• SAAS REVENUE GROWTH - SaaS revenue increased by 23% yr/yr, driven by growing demand for identity and fraud solutions

• DEPOSITS SOFTWARE STABILITY - Core Deposits software products provide stability with resilient transaction volumes, contributing to strong free cash flow

• STRATEGIC SHIFT - Co is shifting to SaaS, streamlining operations, and aligning product investments around a unified platform for durable growth

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy"

• Wall Street's median 12-month price target for Mitek Systems Inc is $13.00, about 29.8% above its August 6 closing price of $9.12

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nBw7fylqLa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)