Truist Securities reiterates Hold rating on nCino stock, maintains $27 price target

Published 10/07/2025, 15:52
Truist Securities reiterates Hold rating on nCino stock, maintains $27 price target

Investing.com - Truist Securities has reiterated its Hold rating on nCino Inc. (NASDAQ:NCNO) stock, maintaining its price target of $27.00 following an intra-quarter discussion with the company’s management. The target sits at the lower end of analyst estimates, which range from $27.00 to $35.00, according to InvestingPro data.

The research firm highlighted several key topics from its conversation with nCino executives, including AI adoption and capabilities, the company’s internal AI usage, and various sales performance considerations.

Additional discussion points covered pricing and packaging commentary, as well as updates on nCino’s acquired Sandbox Banking business, according to Truist Securities.

The firm has raised its non-GAAP operating profit and cash flow estimates for nCino in the second half of 2027, citing various efficiency efforts throughout the business that are expected to improve financial performance.

Truist Securities maintained its Hold recommendation on nCino shares while noting it is watching for a "visible growth inflection point" before considering any rating adjustment.

In other recent news, nCino Inc. reported first-quarter results for fiscal year 2026, with total revenue and non-GAAP operating income slightly surpassing the company’s guidance by approximately 2% and 1%, respectively. UBS responded by raising the stock price target to $34, maintaining a Buy rating, while Citizens JMP also increased their target to $35, citing confidence in nCino’s AI strategy and new pricing model. These developments come as nCino’s management revised its fiscal year 2026 subscription revenue growth forecast to 8-9%, up from the previous 7-8%. In addition, nCino has announced a 7% workforce reduction and a decrease in office space, expected to yield around $24 million in expense savings.

JPMorgan initiated coverage of nCino with a neutral rating, highlighting the company’s aim to achieve the "Rule of 40" by fiscal year 2027. KeyBanc Capital Markets maintained a Sector Weight rating, expressing improved confidence in nCino’s AI strategy and operating margins, but noted the need for more evidence of strategic growth initiatives. At the Digital Banking 2025 conference, mixed reactions were reported regarding nCino’s new pricing model, although the product’s functionality received generally positive feedback. These recent developments reflect nCino’s strategic focus on AI, pricing models, and cost management as the company navigates the competitive landscape.

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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