ACV Auctions price target lowered to $16 from $17 at BofA

BofA lowered the firm’s price target on ACV Auctions to $16 from $17 and keeps a Neutral rating on the shares. The setup for small-to-mid cap Internet stocks in 2024 is more constructive compared to the start of 2023, but this is baked into valuations, the analyst tells investors in a “2024 Year Ahead” note for the group. By subsector, BofA prefers e-commerce over subscription services, the analyst says, adding that online real estate is most levered to lower rates, but the firm expects a gradual recovery in home sales in 2024. The firm raised 2024/25 estimates on select SMID cap companies, but lowers estimates for ACV largely to reflect a slower than previously assumed recovery in used vehicle volumes in 2024.