Squarespace upgraded to Buy from Neutral at Citi

Citi upgraded Squarespace to Buy from Neutral with a price target of $40, up from $30. The analyst says an improved growth outlook results in "upside tension" to near-term and long-term estimates. Squarespace’s "strong" Q4 results and fiscal 2023 guide showed improvements and accelerating growth to the business, the analyst tells investors in a research note. In addition, Citi’s web builders survey shows web professionals viewing Squarespace as having strong functionality, which demonstrates its competitive positioning, says the firm. It sees the company’s improvement continuing into 2024 and beyond.