Ronald Josey, an analyst from Citi, maintained the Buy rating on Fiverr International. The associated price target remains the same with $33.00.
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Ronald Josey has given his Buy rating due to a combination of factors that highlight Fiverr International’s strategic transformation and future growth potential. The company is embracing an AI-driven restructuring, which is expected to streamline operations and enhance product development. By reducing its workforce by approximately 30% and automating more services with AI, Fiverr aims to become a more agile and product-focused organization. This transition is anticipated to accelerate its move upmarket and improve gross merchandise value trends.
Despite the workforce reduction, Fiverr’s management has reiterated its guidance for the third quarter of 2025 and the full year 2025, indicating confidence in the company’s market activities. The restructuring is projected to achieve 25% EBITDA margins by 2026, a year ahead of schedule, which includes reinvestment in growth initiatives such as AI applications and enterprise products. These strategic moves, coupled with expected annualized savings, support the Buy rating with a target price of $33, reflecting a potential share price return of 43.9%.
In another report released today, Needham also reiterated a Buy rating on the stock with a $32.00 price target.