Cardlytics reinstated with a Neutral at BofA

BofA reinstated coverage of Cardlytics with a Neutral rating and $11 price target. While management has ambitions to grow share in performance advertising, the firm’s checks suggest that many advertisers still view Cardlytics as an experimental platform or lower tier channel, the analyst tells investors. The firm thinks a valuation discount is justified given lower growth visibility and weaker profitability than peers, the analyst added.