Fleetcor initiated with an Outperform at BMO Capital

BMO Capital initiated coverage of Fleetcor with an Outperform rating and $300 price target. Fleetcor, a leader in several B2B payment verticals, is poised to benefit from the secular digitization of B2B payments and several vertical-specific tailwinds, the analyst tells investors. Consensus estimates appear to only reflect organic growth, says the firm, which models 14% and 13% revenue growth in 2024 and 2025, respectively, versus consensus at 9% and 10%. The recent pullback leaves shares trading at “an attractive growth-adjusted multiple,” the analyst added.