Symbotic price target lowered to $54 from $58 at Needham

Needham analyst James Ricchiuti lowered the firm’s price target on Symbotic to $54 from $58 and keeps a Buy rating on the shares. The company’s Q1 revenue was at the high end of the range, but investors who have grown accustomed to Symbotic delivering strong top-line beats will be disappointed by the print, the analyst tells investors in a research note. The firm adds that while it is maintaining “strong” revenue growth expectations for FY24 and FY25, it is also reduce its adjusted EBITDA estimates for FY24 to $77.2M from $123.8M, acknowledging that Symbotic still needs to demonstrate its operating leverage potential.