JMP Securities lowered the firm’s price target on Outbrain (OB) to $7 from $8 and keeps an Outperform rating on the shares following the quarterly results and the announcement that founder and co-CEO Yaron Galai is stepping away from daily operations, leaving the business to co-CEO David Kostman. While near-term volatility is likely supply driven as Microsoft (MSFT) has pulled certain ad units from its auction, Outbrain expects revenue to accelerate through 2024 and reach 10%+ growth in 2025 driven by improving yields, growth at Onyx, and further adoption of Zemanta with EBITDA margins expanding to 20%+ in 2025, the analyst tells investors in a research note.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See today’s best-performing stocks on TipRanks >>
Read More on OB: