Stifel cuts Klaviyo stock target to $45, maintains Buy rating

Published 07/05/2025, 16:16
Stifel cuts Klaviyo stock target to $45, maintains Buy rating

On Wednesday, Stifel analysts adjusted their outlook on Klaviyo Inc (NYSE:KVYO), reducing the price target to $45 from the previous $54, while continuing to endorse the stock with a Buy rating. The adjustment followed Klaviyo’s first-quarter earnings report, which was characterized as clean by the analysts. The company also increased its guidance for the year. According to InvestingPro data, Klaviyo maintains impressive gross profit margins of 76.39% and analysts expect net income growth this year.

Despite a quarter marked by uncertainty due to tariff news and potential effects on the retail and e-commerce sectors, Klaviyo has not experienced any significant impact on its operations. The company’s guidance takes into account some economic risks but also reflects the underlying strength of the business, supported by a healthy current ratio of 4.9 and strong revenue growth of 34.29% over the last twelve months.

Klaviyo’s positive trajectory this quarter was attributed to several factors, including momentum among mid-to-upper market customers, growth in international markets, and increased adoption of SMS services. These elements contributed to robust customer acquisition and consistent retention. InvestingPro analysis reveals 8 additional key insights about Klaviyo’s financial health, which currently rates as GOOD according to their comprehensive scoring system.

The company’s focus for the coming year includes the initial reception of its new B2C CRM tools, Customer Hub, and Marketing Analytics. Although these tools are not expected to significantly contribute to revenue in the current forecasts, they are anticipated to be a focal point for investors.

The Stifel report concluded by reiterating the Buy rating for Klaviyo stock and justifying the revised price target of $45, acknowledging the company’s strong performance amidst a challenging macroeconomic landscape.

In other recent news, Klaviyo Inc. reported impressive first-quarter 2025 earnings with a revenue of $280 million, surpassing the expected $257.25 million. The company’s earnings per share (EPS) met forecasts at $0.14, highlighting stable financial performance. Analysts have responded positively to Klaviyo’s results, with Truist Securities maintaining a Buy rating and a $40 price target, citing the company’s resilience and growth potential. Scotiabank (TSX:BNS) raised its price target for Klaviyo to $35, maintaining a Sector Perform rating, reflecting confidence in the company’s strategic positioning and increased revenue projections for fiscal year 2025.

Canaccord Genuity adjusted its outlook by lowering the price target to $45 from $50, while still endorsing a Buy rating, emphasizing Klaviyo’s profitable growth and customer experience. KeyBanc Capital Markets maintained an Overweight rating and a $50 price target, noting the company’s increased full-year revenue forecast despite market skepticism. Klaviyo’s management has highlighted their strong return on investment and customer retention as key factors in their ongoing success, with plans for continued international expansion and product innovation. These developments underscore Klaviyo’s strategic initiatives and their potential for sustained growth in a challenging economic environment.

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.