Remitly Global upgraded to Outperform from Market Perform at BMO Capital

BMO Capital analyst Rufus Hone upgraded Remitly Global to Outperform from Market Perform with a price target of $28, up from $24. The company’s Q4 results were strong, demonstrating stable underlying marketing efficiency from Q3, better-than-expected customer growth, and greater potential for more meaningful future operating leverage, the analyst tells investors in a research note. BMO also believes that investors underestimate Remitly’s long-term growth potential and EBITDA margin trajectory, raising its FY24 EPS view by 5c to 50c and its FY25 view by 12c to $1.06.