Edgio price target lowered to $1 from $1.50 at Lake Street

Lake Street lowered the firm’s price target on Edgio to $1 from $1.50 and keeps a Buy rating on the shares. The company’s Q4 revenue guide was below the firm’s forecast, but the expected 400 basis points expansion in cash margin has the AEBITDA guide in line with its prior model as the company is pivoting away from the more commoditized CDN business and is focused on the higher margin Apps and Streaming markets. The firm has trimmed its 2024 revenue view, but bumped up its AEBITDA estimate, the analyst noted.