Lightspeed POS Inc: Strong Financial Performance and Strategic Initiatives Drive Buy Rating

Analyst Koji Ikeda of Bank of America Securities reiterated a Buy rating on Lightspeed POS Inc (LSPD – Research Report), reducing the price target to $15.00.

Koji Ikeda’s rating is based on Lightspeed POS Inc’s strong financial performance and strategic initiatives. The company reported higher-than-expected revenue for the fourth quarter of fiscal year 2025, with adjusted EBITDA aligning with market expectations. The guidance for fiscal year 2026 suggests a revenue growth of 10-12% year-over-year, which is slightly above the market consensus, indicating confidence in the company’s growth trajectory despite macroeconomic uncertainties.
Additionally, Lightspeed’s investment in expanding its outbound sales capacity and innovation in areas such as AI-powered tools and analytics is seen as a positive step towards differentiating its platform in a competitive market. The company’s focus on enhancing its value proposition for retail and hospitality sectors, combined with its strategic sales and innovation efforts, supports the belief that it can achieve its three-year targets, including a 35% CAGR in adjusted EBITDA. This potential for growth and strategic execution underpins Ikeda’s Buy rating, with a price objective of $15 USD.

In another report released yesterday, BTIG also maintained a Buy rating on the stock with a $14.00 price target.

Based on the recent corporate insider activity of 39 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 LSPD in relation to earlier this year.