Needham maintains Buy on Amplitude stock, target at $16

Published 23/04/2025, 12:14
Needham maintains Buy on Amplitude stock, target at $16

Wednesday, Needham analysts maintained their Buy rating and $16.00 price target for Amplitude Inc (NASDAQ:AMPL) stock, representing significant upside from the current price of $7.94. According to InvestingPro data, analyst targets range from $11 to $17, with the stock currently showing oversold conditions based on technical indicators. The affirmation comes after Needham conducted discussions with two of Amplitude’s customers, gaining insights into the company’s performance and market position.

The customers, a marketing manager from a large media enterprise and a product manager from an enterprise software company, provided positive feedback on Amplitude’s behavioral analytics capabilities. According to the analyst, Amplitude is increasingly being recognized as a platform player. While customers have not significantly expanded beyond Amplitude’s core Product Analytics offering, the company maintains strong financial health with a current ratio of 2.1 and more cash than debt on its balance sheet.

Needham’s customer checks, which included involvement in three Amplitude implementations, indicated that the structure of data is a crucial factor for successful implementation. Amplitude’s Customer Data Platform (CDP) solution and its comprehensive integrations were highlighted as beneficial to this process.

The customers also gave strong feedback regarding Amplitude’s customer support. Needham’s analyst pointed out that Amplitude dedicates significant resources to ensure successful onboarding for its clients, which has been well-received by users.

The reiterated Buy rating and price target reflect Needham’s confidence in Amplitude’s capabilities and the value it provides to its customers. The analyst’s comments underline the potential for Amplitude to continue its growth trajectory in the behavioral analytics market. While currently unprofitable, InvestingPro analysis indicates analysts expect profitability this year. For deeper insights into Amplitude’s growth potential and comprehensive financial analysis, access the full Pro Research Report, available exclusively to InvestingPro subscribers.

In other recent news, Amplitude has entered into a new lease agreement for its San Francisco office space, securing approximately 57,530 square feet with an option to expand. The lease, effective from October 2025, includes a base rent abatement of about $2.6 million and a standby letter of credit for $850,000. DA Davidson reaffirmed its Buy rating for Amplitude with a $16 price target, highlighting strategic initiatives to boost platform usage and attract enterprise customers. Similarly, KeyBanc maintained an Overweight rating with a $17 target, noting the potential impact of product innovations in artificial intelligence on enterprise sales. Needham initiated coverage with a Buy rating and a $16 target, citing optimism about Amplitude’s revenue growth and platform expansion. Additionally, Amplitude announced the appointment of Tien Tzuo to its Board of Directors, bringing extensive experience from his roles at Salesforce (NYSE:CRM) and Zuora (NYSE:ZUO). These developments reflect Amplitude’s strategic efforts to enhance its market position and growth prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.