Stifel reiterates Buy rating on Criteo stock, maintains $41 price target

Investing.com - Stifel has reiterated its Buy rating on Criteo S.A. (NASDAQ:CRTO) while maintaining its $41.00 price target. According to InvestingPro data, the stock is currently trading near its 52-week low of $19.50, suggesting potential upside opportunity. The company maintains strong financial health with a "GREAT" overall score.

The research firm expects a solid third-quarter 2025 performance from Criteo, citing a supportive broader advertising environment. Despite this positive outlook, Stifel notes that Criteo won’t overcome the headwind from Target/Uber changes until late 2026. Trading at a P/E ratio of 9.45, InvestingPro analysis indicates the stock appears undervalued relative to its growth potential.

Stifel anticipates limited follow-through momentum in the stock even if Criteo reports better-than-expected quarterly results. The firm believes investor enthusiasm might return if Criteo announces a substantial partnership in Agentic AI or Commerce sectors.

The research firm acknowledges that Criteo has been vocal about positioning itself for potential partnerships in these areas. This strategic positioning could provide future growth opportunities for the advertising technology company.

Criteo, which specializes in digital performance-based advertising solutions, continues to navigate challenges in its core business while exploring new technological avenues for expansion.

In other recent news, Criteo reported impressive Q2 2025 earnings, significantly surpassing expectations. The company achieved an adjusted EPS of $0.92, well above the forecasted $0.71, representing a 29.58% surprise. Additionally, Criteo’s revenue reached $483 million, far exceeding the anticipated $275 million, marking a 75.62% surprise. In another development, Criteo announced a partnership with Google for onsite retail media integration, becoming Google’s first partner in this area. This collaboration allows advertisers to manage campaigns across Criteo’s network of over 200 retailers directly within Google’s Search Ads 360 platform. Furthermore, Criteo and DoorDash have entered a multi-year agreement to expand retail media advertising on DoorDash’s marketplace, focusing on grocery, convenience, and non-restaurant retailers. Benchmark has reiterated its Buy rating on Criteo stock, emphasizing the significance of the Google partnership and maintaining a price target of $42.00.

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