Evercore ISI initiates coverage on Pattern Group stock with Outperform rating

Investing.com - Evercore ISI initiated coverage on Pattern Group Inc (NASDAQ:PTRN) with an Outperform rating and a price target of $19.00 on Tuesday. The stock currently trades at $13.97, with InvestingPro data showing it’s trading near its 52-week high of $16.00.

The research firm cited Pattern Group’s position as a global e-commerce accelerator that partners with consumer brands to drive online marketplace sales through its integrated software, services, and logistics capabilities.

Evercore ISI highlighted the company’s impressive scale, noting $1.8 billion in revenue for 2024, representing 32% year-over-year growth, along with durable customer relationships with 87% of revenue coming from partners onboarded more than 12 months ago.

The $19 price target is derived from a 15x EV/EBITDA multiple applied to Evercore’s 2027 EBITDA estimate of $210 million for Pattern Group.

According to the research firm, Pattern Group is positioned to benefit from two major e-commerce tailwinds: the continued global expansion of e-commerce, particularly through third-party marketplaces, and the increasing trend of brands outsourcing their e-commerce operations to expert partners.

In other recent news, Pattern Group Inc has been the subject of multiple analyst reports, each highlighting the company’s position and potential within the e-commerce sector. Needham initiated coverage with a Buy rating and set a price target of $18.00, emphasizing the company’s use of artificial intelligence to enhance online marketplace sales. BMO Capital also initiated coverage with an Outperform rating and a higher price target of $19.00, noting the firm’s proprietary AI and extensive e-commerce data capabilities. William Blair joined in with an Outperform rating, citing the expansive e-commerce market as a positive indicator for Pattern Group’s future. Baird echoed this sentiment, initiating coverage with an Outperform rating and an $18.00 price target, highlighting the company’s emerging leadership in e-commerce marketplaces. Additionally, Goldman Sachs provided a Buy rating with a $17.00 price target, recognizing Pattern Group’s potential to scale within the growing global e-commerce market. These recent developments reflect a consistent confidence among analysts in Pattern Group’s strategic positioning and growth prospects.

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