Index falls as earnings results weigh; pound above $1.33, Bodycote soars
On Wednesday, Baird analysts increased their price target on shares of Manhattan Associates, Inc. (NASDAQ:MANH) to $212, up from the previous $212, while maintaining an Outperform rating on the stock. According to InvestingPro data, analyst targets for the stock range from $177 to $270, with the company maintaining a "GREAT" overall financial health score. The firm’s analysts highlighted the company’s ongoing efforts to promote the benefits of cloud adoption and the unification of supply chain systems. The recent customer conference showcased advancements in execution systems such as Warehouse Management Systems (WMS) and Transportation Management Systems (TMS), omnichannel capabilities, and the latest in inventory planning.
In addition, Manhattan Associates announced the launch of Artificial Intelligence (AI) agents and a development framework for customers, which Baird analysts believe will add momentum to cloud adoption. The analysts noted that the new CEO, Eric Clark, has a strong understanding of the opportunities ahead for the company. The company has demonstrated solid financial performance with a revenue growth of 9.2% over the last twelve months and maintains a healthy gross profit margin of 55.6%. InvestingPro subscribers can access 13 additional key insights about Manhattan Associates’ growth potential and valuation metrics. His approach to messaging indicates a potential to expand the software’s Total (EPA:TTEF) Addressable Market (TAM) and to drive greater and faster adoption.
The analysts’ decision to raise the price target is also supported by observations that initial concerns over continued pressures on services are not materializing as feared. This positive outlook reflects confidence in Manhattan Associates’ strategic direction under the new leadership and its innovative product offerings.
Manhattan Associates has been actively working on enhancing its product suite and promoting the integration of its systems to address the complex needs of modern supply chains. The introduction of AI agents is expected to further strengthen the company’s competitive edge in the market by enabling customers to leverage advanced technologies for improved efficiency and decision-making.
The raised price target represents a vote of confidence in Manhattan Associates’ growth trajectory and its ability to capitalize on the increasing demand for cloud-based supply chain solutions. As the company continues to evolve its offerings and expand its market reach, investors are watching closely for signs of sustained growth and market penetration. Despite a challenging six-month period where the stock declined by 29.4%, Manhattan Associates maintains strong fundamentals with a return on equity of 90% and minimal debt levels. For detailed analysis and comprehensive insights, investors can access the full Manhattan Associates Pro Research Report, available exclusively on InvestingPro.
In other recent news, Manhattan Associates reported impressive first-quarter 2025 earnings, surpassing analysts’ expectations. The company’s adjusted earnings per share (EPS) reached $1.19, compared to the forecasted $1.03, while revenue hit $263 million, exceeding the projected $256.63 million. This performance was bolstered by a 21% increase in cloud revenue, highlighting the company’s strategic focus on cloud-based solutions. Additionally, Manhattan Associates has expanded its partnership with Google (NASDAQ:GOOGL) Cloud, allowing its Manhattan Active® solutions to be available on the Google Cloud Marketplace, which is expected to enhance digital transformation for customers.
Raymond (NSE:RYMD) James recently adjusted its price target for Manhattan Associates to $195 from $270 but maintained an Outperform rating. Despite this target reduction, the firm acknowledged the company’s robust bookings and noted that financial guidance might be slightly lower when excluding currency fluctuation effects. Furthermore, Manhattan Associates has undergone a board reshuffle following the retirement of two long-standing members, with Eddie Capel appointed as Executive Chairman and Danielle Sheer joining the board.
The company also announced the introduction of advanced AI-driven supply chain agents within its Manhattan Active® solutions, marking a significant technological advancement. These recent developments underscore Manhattan Associates’ commitment to innovation and its strategic positioning in the supply chain and omnichannel commerce sectors.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.