Sharecare deep discount valuation unwarranted, says Canaccord

Canaccord said Q2 arnings for Sharecare were solid overall, beating consensus on revenue and adj-EBITDA while next quarter guidance ranges were slightly below our estimates, though bracketed consensus. The firm said shares are very cheap and with stable underlying performance, particularly in the Provider and Enterprise verticals, impact from cost savings initiative expected to drive margins in 2H, and $47.5M remaining under its authorized share repurchase program, they believe the deeply discounted valuation is unwarranted. Canaccord has a Buy rating and $3.00 price target on Sharecare shares.