TD Cowen maintains Buy rating and $51 target for Samsara stock

Published 03/06/2025, 15:46

On Tuesday, TD Cowen analysts reaffirmed their Buy rating and $51 price target for Samsara Inc (NYSE: NYSE:IOT), which currently trades at $46.18. According to InvestingPro data, the stock has shown strong momentum with a 36.73% return over the past year, though current valuations suggest the stock may be trading above its Fair Value. Analysts anticipate Samsara’s first-quarter earnings report, scheduled for Thursday, to show a revenue beat of approximately 3%. The company has demonstrated impressive growth with a 33.26% year-over-year revenue increase and maintains robust gross profit margins of 76.2%. While macroeconomic uncertainties may impact fiscal year 2026 guidance, InvestingPro analysis reveals that 9 analysts have recently revised their earnings expectations upward.

Analysts noted some turnover in the go-to-market team following the departure of the company’s Chief Revenue Officer. However, they observed strong hiring activity in net new sales roles during the first quarter, which they view positively.

The analysts expressed confidence in Samsara’s long-term growth, citing tangible returns on investment and large greenfield market opportunities as key drivers. They expect a revenue beat similar to previous quarters, but with less upside reflected in the fiscal year guidance due to ongoing macroeconomic challenges and recent leadership changes.

Despite the potential for limited growth in the near term due to high valuations and a lack of expected guidance increases, TD Cowen remains optimistic about Samsara’s competitive position and market potential over the long term. With a market capitalization of $26.55 billion and an overall Fair financial health rating from InvestingPro, the company appears well-positioned to capitalize on its market opportunities. InvestingPro subscribers have access to over 10 additional exclusive insights and a comprehensive Pro Research Report for deeper analysis of Samsara’s prospects.

In other recent news, Samsara Inc. has attracted attention with several notable developments. Analysts at BMO Capital raised the company’s stock price target to $54, maintaining an Outperform rating due to anticipated growth and strong execution. Similarly, Piper Sandler increased Samsara’s price target to $53, citing potential revenue growth and positive trends in the company’s metrics. These analysts expect Samsara to raise its guidance, projecting a 25% year-over-year growth. Samsara has also announced a partnership with Rivian (NASDAQ:RIVN) to integrate electric vehicle data into its platform, enhancing fleet management capabilities. Additionally, Samsara has collaborated with WasteVision AI to introduce AI technology for waste management, aimed at improving operational efficiency and safety. These partnerships reflect Samsara’s focus on expanding its technological offerings across various sectors. The company’s ongoing efforts to enhance its platform and partnerships with industry leaders indicate a strategic approach to addressing market demands.

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