ServiceTitan initiated with a Hold at Loop Capital

Loop Capital analyst Yun Kim initiated coverage of ServiceTitan (TTAN) with a Hold rating and $105 price target The company is at the cusp of emerging as the de facto standard platform for automating business operations for the trade industry – including plumbing, HVAC, electrical, etc. – which is currently undergoing a massive transformation that is driving increasing demand for a modern software-based solution, the analyst tells investors in a research note. Given the changing demand dynamics driven by the current consolidation trend in ServiceTitan’s target market however, there are some near-term execution risks, and Loop is conservatively assuming revenue growth rates in the teens over the next two years, the firm adds.