Needham reiterates Buy rating on Commerce.com stock, cites AI enhancements

Published 20/08/2025, 11:26
Needham reiterates Buy rating on Commerce.com stock, cites AI enhancements

Investing.com - Needham maintained its Buy rating and $10.00 price target on Commerce.com (NASDAQ:CMRC) following the company’s BigSummit customer conference. The stock, currently trading at $4.62, has declined 26% over the past six months, according to InvestingPro data.

The research firm expressed positive impressions of several new Agentic enhancements showcased at the event. These improvements focus on better usability, simplified data ingestion and integrations, and optimizing data flow into Answer Engines to improve responses.

Needham identified Feedonomics as a "hidden gem" and competitive differentiator in the current data-driven Agentic environment. The tool’s ability to properly syndicate data across various channels, including Answer Engines, has supported management’s brand awareness marketing initiative.

According to Needham, this marketing push is now in its "8th inning" and partner conversations indicate it is positively impacting deal flow. This development has created optimism regarding additional revenue growth potential into FY26.

The firm suggested that if these growth projections materialize, Commerce.com shares could be "very inexpensive" at current levels.

In other recent news, Commerce, formerly known as BigCommerce, announced its Q2 2025 earnings with revenue of $84.4 million, slightly exceeding the anticipated $83.3 million. The company met its earnings per share (EPS) forecast precisely at $0.04. This performance comes amid the company’s rebranding efforts, shifting its corporate name from BigCommerce to Commerce, which it believes aligns better with its strategic vision. In response to this rebranding, Stifel adjusted its price target for Commerce from $9.00 to $8.00 while maintaining a Buy rating. These developments reflect the company’s ongoing efforts to position itself effectively in the market. The recent earnings report and rebranding news have sparked interest among investors and analysts alike. Commerce’s strategic moves and financial performance continue to be closely monitored by market participants.

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

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