Rezolve AI stock price target raised to $9 from $4 at H.C. Wainwright

Investing.com - H.C. Wainwright raised its price target on Rezolve AI Ltd. (NASDAQ:RZLV) to $9.00 from $4.00 on Monday, while maintaining a Buy rating on the stock. The company, currently valued at $1.68 billion, has shown remarkable momentum with a 46% surge in the past week alone.

The research firm cited Rezolve’s progress toward reaching $100 million in annual recurring revenue (ARR) by year-end 2025. The company currently has approximately $70 million in ARR, positioning it well to meet its target. With an impressive gross profit margin of 82% and projected revenue growth of 183% for FY2025, according to InvestingPro data, the company shows strong operational efficiency.

Growth in Rezolve’s ARR is being driven by organic growth through partnerships with Google (NASDAQ:GOOG) and Microsoft (NASDAQ:MSFT), as well as expected additional mergers and acquisitions activity.

H.C. Wainwright noted that while RZLV shares have increased 77.0% year-to-date, compared to a 7.5% increase in the Russell 2000 Index, the firm believes there is still material upside potential from current levels.

The price target increase reflects a combination of a higher 2026 revenue forecast and multiple expansion, with the firm recommending investors continue to accumulate shares ahead of the company’s first-half 2025 operating results announcement scheduled for October 1.

In other recent news, Rezolve Ai has reported achieving $70 million in annual recurring revenue for 2025, supported by deployments with over 50 enterprise customers in the retail and commerce sectors. Notably, the company secured a significant $9.8 million annual contract with Liverpool, Mexico’s third-largest retailer. In addition, Rezolve Ai announced the opening of its Asia Pacific regional headquarters in Singapore, bolstered by a multi-million-dollar investment from the Government of Singapore. This expansion aims to enhance the company’s presence in Southeast Asia’s growing digital markets. Furthermore, Rezolve Ai has secured a $50 million strategic investment from new institutional investors, including Citadel Global Equities, highlighting confidence in its business model. Institutional ownership in Rezolve Ai has now surpassed 10%, with major firms like BlackRock, Vanguard, and State Street taking positions. The company’s recent inclusion in the Russell 2000 and 3000 indices is cited as a contributing factor to this increased interest. Additionally, Rezolve Ai has highlighted a valuation gap compared to its AI sector peers, trading at approximately 13 times its annual recurring revenue, a figure notably lower than some competitors.

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