KeyBanc maintains ServiceTitan stock with $120 target

On Friday, KeyBanc Capital Markets reaffirmed its positive stance on ServiceTitan shares (NASDAQ:TTAN), maintaining an Overweight rating and a $120.00 price target. Currently trading at $87.83, the stock sits well below analyst targets ranging from $104 to $125. ServiceTitan’s fourth fiscal quarter results surpassed expectations, with the company also issuing guidance for fiscal year 2026 that exceeded analyst forecasts.

ServiceTitan’s subscription and usage revenue saw a notable increase during the fourth fiscal quarter, attributed to robust new bookings and expansion within the company. With a market capitalization of $7.4 billion and trailing twelve-month revenue of $724 million, the company maintains a healthy gross margin of 65.46%. This marks the third consecutive quarter of accelerated growth, even after adjusting for a one percent benefit from linearity and catch-up items.

The management team at ServiceTitan shared insights, indicating that the company has not experienced any adverse effects on the number of jobs performed or the average ticket size, despite concerns about tariffs and broader economic uncertainty. According to InvestingPro analysis, the company operates with a moderate level of debt and maintains strong liquidity with a current ratio of 1.8. This resilience in their operations was highlighted as a positive sign by the analysts. For deeper insights into ServiceTitan’s financial health and growth prospects, access the comprehensive Pro Research Report, available exclusively on InvestingPro.

KeyBanc analysts expressed confidence in ServiceTitan’s prospects, citing the lack of observed impact from external economic factors as an encouraging sign. The firm’s guidance also appears to reflect a cautious approach, which KeyBanc views as prudent.

In summary, KeyBanc’s analysts reiterated their Overweight rating on ServiceTitan stock, signaling their continued confidence in the company. They consider ServiceTitan to be one of their top picks for 2025, underpinned by its strong performance and positive outlook.

In other recent news, ServiceTitan reported a significant rise in revenue for the fourth quarter of 2025, with a 29% increase year-over-year, reaching $209.3 million. The company’s Gross Transaction (JO:TCPJ) Volume (GTV) also grew by 26% to $17 billion, driven by strong subscription revenue growth of 31%. Needham analysts have maintained a Buy rating and a $125 price target on ServiceTitan, citing the company’s robust performance and potential for sustained revenue growth. Meanwhile, Loop Capital adjusted its price target for ServiceTitan to $90, highlighting the company’s impressive GTV growth and future revenue potential.

ServiceTitan’s strategic focus on expanding its market reach and enhancing its commercial use cases is evident, with the company providing a revenue guidance range of $895 million to $950 million for fiscal year 2026. The company is working to capture a larger share of the commercial market, with plans to grow its presence in new trades, including roofing. Analysts from Loop Capital have raised their FY26 revenue growth forecast for ServiceTitan to 17%, driven by increased subscription revenue growth estimates.

The company’s recent earnings call revealed that ServiceTitan achieved positive free cash flow for the first time, marking a significant milestone. The consolidation wave in the trades industry is seen as a catalyst for ServiceTitan’s growth, as it positions itself as a leading platform for automating business operations. As ServiceTitan progresses beyond its IPO and an impressive fiscal year 2025, analysts express confidence in its potential for continued growth, supported by product innovation and market expansion.

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