Analyst Scott Berg of Needham maintained a Buy rating on PROS Holdings (PRO – Research Report), reducing the price target to $25.00.
Scott Berg’s rating is based on several factors, including the positive first-quarter performance of PROS Holdings, which showed modest improvements across various metrics. The company’s Travel segment has demonstrated a solid recovery, aligning with previous management comments, and this resurgence is expected to contribute to a re-acceleration of the company’s subscription growth rate in the coming years.
Additionally, the B2B sales segment has shown improvement, with recent tariff shifts prompting more discussions with potential customers. The announcement of Jeff Cotton as the new CEO and President, following the retirement of long-time CEO Andres Reiner, also adds a layer of stability and potential for strategic growth. Despite a reduction in the price target from $30 to $25 to reflect current valuation trends, the overall outlook remains positive, justifying the Buy rating.
In another report released today, KeyBanc also maintained a Buy rating on the stock with a $22.00 price target.