Life360 price target raised to $71 from $57 at UBS on reduced competition

UBS raised its price target on Life360 (NASDAQ:LIF) stock to $71.00 from $57.00 on Monday, while maintaining a Buy rating on the family safety platform. The firm cited reduced concerns about competitive pressure from Apple (NASDAQ:AAPL)’s "Find My" service following Apple’s Worldwide Developers Conference. The stock has shown remarkable momentum, delivering a 101.7% return over the past year and currently trading near its 52-week high of $65.78. According to InvestingPro analysis, the stock appears to be trading above its Fair Value.

UBS analyst Chris Kuntarich noted the firm is reducing its growth-adjusted discount to the peer group after WWDC did not show evidence of Apple pushing more aggressively into location tracking services that would compete with Life360. The analyst observed that Apple instead appears to be "doubling down on its ’privacy first’ ethos" with its Apple Intelligence positioning and plans for advanced fingerprinting protection in Safari browsing with iOS26. InvestingPro data shows Life360 maintaining impressive gross profit margins of 76.3% and strong revenue growth of 26.2% over the last twelve months.

Life360 offers location sharing and safety services for families, including features that allow parents to track children’s whereabouts through smartphone apps. The company has expanded its offerings in recent years to include driver safety monitoring and personal item tracking. With a "Great" financial health score from InvestingPro and a comfortable current ratio of 3.38, the company appears well-positioned to continue its expansion strategy.

UBS remains "constructive" on Life360’s outlook, seeing potential upside to its estimates from possible App Store fee relief in the US market and faster execution on advertising opportunities. The firm also highlighted Life360’s planned rollout of pet and elder monitoring features as growth drivers.

The price target increase represents a 24.6% boost from UBS’s previous valuation, reflecting greater confidence in Life360’s competitive position against larger technology platforms that offer similar services.

In other recent news, Life360 reported a strong first quarter with revenue surpassing expectations, driven by a significant rise in advertising revenue, which increased to $4.6 million from $100,000 the previous year. This performance led Loop Capital Markets to raise its price target for Life360 from $52 to $58, maintaining a Buy rating, while Stifel reiterated a Buy rating with a $48 target, highlighting the company’s strategic initiatives like the upcoming pet tracking feature. Citizens JMP also showed confidence in Life360, raising its price target to $62, reflecting optimism from its recent meetings with the company’s management.

Life360’s stockholders recently approved the election of three directors and the executive compensation package during the Annual Meeting of Stockholders. Additionally, the company announced a $25 million investment in Aura, a digital security company, with expected revenue benefits in the latter half of 2025. Loop Capital noted that Life360’s non-hardware revenue streams, including data and advertising, have shown significant growth, prompting an upward revision in revenue estimates. Analysts at JMP Securities maintained a Market Outperform rating with a $55 target, citing Life360’s unique business model and potential to expand into new markets like advertising and elder care.

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