William Blair analyst Arjun Bhatia has reiterated their bullish stance on KVYO stock, giving a Buy rating yesterday.
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Arjun Bhatia has given his Buy rating due to a combination of factors that highlight Klaviyo, Inc.’s strong potential for long-term growth. The company has demonstrated durability in its key growth drivers, such as multiproduct adoption, international expansion, and midmarket traction, which are crucial for sustaining its growth trajectory. Additionally, Klaviyo’s large total addressable market (TAM) and its strategic focus on AI, particularly through its agentic AI roadmap, position it well in the evolving technological landscape.
Despite the absence of formal growth or revenue targets and the operating margin targets of 15%-17% by 2028 being below investor expectations, Bhatia remains optimistic about Klaviyo’s future. The company’s continued development of its autonomous CRM, data platform, and innovative pricing model, which is not seat-based, further reinforce its competitive edge. These factors contribute to a positive outlook for Klaviyo, with a projected growth rate of over 20% in the coming years, making it an attractive option for long-term investors.
In another report released yesterday, TD Cowen also reiterated a Buy rating on the stock with a $46.00 price target.
Based on the recent corporate insider activity of 90 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of KVYO in relation to earlier this year.