Bill news on BofA contract will be an overhang, says Evercore ISI

Evercore ISI raised the firm’s price target on Bill (BILL) to $70 from $62 and keeps an In Line rating on the shares. Stronger than expected volume and spending trends aided Bill to put up a beat and raise across the board, but commentary on the outlook remains cautious regarding the macro backdrop still affecting small-to-midsize businesses, the analyst tells investors. The focus for investors from the call will be the Bank of America (BAC) news, however, as it was learned that BofA has recently opted to strategically enhance its internal payment capabilities, though they are still considering how to utilize Bill’s platform. The “risk or overhang lies in the potential dissolution” of the BofA partnership, says the analyst, who calls it difficult to estimate the likelihood of BofA terminating the contract entirely.