Piper Sandler maintains Overweight rating on Samsara stock

Published 12/05/2025, 13:50
Piper Sandler maintains Overweight rating on Samsara stock

On Monday, Piper Sandler reaffirmed its positive stance on Samsara Inc (NYSE:IOT), reiterating an Overweight rating and a $44.00 price target. The firm’s analyst highlighted Samsara as their top pick among cloud automation software companies with off-calendar fiscal years, citing a favorable setup for the first quarter of 2025. According to InvestingPro data, the company currently commands a market capitalization of $24.65 billion and trades at $43.3, with analyst targets ranging from $36.8 to $60.

The analyst’s optimism is based on data suggesting a potential 4% upside in revenue, with estimates ranging between $363 million and $368 million, marking a growth of over 30% year-over-year. This aligns with InvestingPro’s data showing impressive revenue growth of 33.26% and an outstanding gross profit margin of 76.2%. Samsara is also expected to raise its guidance to approximately 25% year-over-year growth. This projection is bolstered by strong job postings and a resurgence in app downloads, which have increased by more than 30% year-over-year as the quarter concluded.

Despite concerns about a slowdown in freight shipments, the rise in cargo theft, which has increased by more than 25% year-over-year, is seen as a factor that could enhance Samsara’s value proposition. The company’s focus on safety is particularly relevant in light of these concerns, potentially boosting its appeal to customers looking to mitigate the risks associated with cargo theft.

Piper Sandler’s analysis indicates confidence in Samsara’s market position and growth prospects, suggesting that the company is well-positioned to navigate the uncertainties of the current economic climate. The firm’s sustained Overweight rating and price target reflect a belief in the company’s continued performance and its ability to capitalize on industry challenges to strengthen its offering in the cloud automation software space.

In other recent news, Samsara Inc. reported robust fourth-quarter results, showcasing a 36% adjusted growth and a revenue beat of approximately 3.5%, which was driven by significant deal-making with both new and existing customers. The company has provided guidance for fiscal year 2026, predicting a 23-24% constant currency growth and a free cash flow margin of around 9%. In a strategic move, Samsara has partnered with Hyundai (OTC:HYMTF) Translead to enhance trailer safety through a factory-installed monitoring system, aimed at improving operational efficiency for North American fleets.

Recent analyst actions reflect varied perspectives on Samsara’s stock. Piper Sandler upgraded the stock from Neutral to Overweight, citing a significant price reset and setting a price target of $50. TD Cowen maintained a Buy rating but adjusted its price target to $51, acknowledging Samsara’s strong financial performance and strategic customer engagements. RBC Capital Markets reduced its price target to $54 while maintaining an Outperform rating, highlighting the company’s success in the enterprise sector. Meanwhile, Truist Securities lowered its price target to $42, maintaining a Hold rating, expressing caution about potentially challenging comparisons in fiscal year 2026.

These developments underscore Samsara’s strong market position and strategic initiatives, providing investors with insights into the company’s future prospects.

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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