Analyst Alicia Yap of Citi reiterated a Buy rating on Grab (GRAB – Research Report), retaining the price target of $6.25.
Alicia Yap’s rating is based on a combination of factors that suggest a positive outlook for Grab’s stock. Despite the recent decline in share price due to Indonesia’s proposed rule requiring ride-hailing companies to pay holiday bonuses to drivers, Yap sees this as an opportunity for investors. She believes that the anticipated holiday bonuses have already been factored into Grab’s 2025 EBITDA guidance, which remains strong at US$440-470 million.
Yap views the current dip in Grab’s share price as a buying opportunity, reiterating a Buy rating with a target price of US$6.25. The Indonesian government’s initiative to boost consumer spending through holiday bonuses, coupled with Grab’s strategic response to these requirements, supports her optimistic stance. Overall, Yap’s analysis suggests that the potential for a significant share price return of 36.2% makes Grab an attractive investment option.
According to TipRanks, Yap is a 4-star analyst with an average return of 4.2% and a 45.58% success rate. Yap covers the Consumer Cyclical sector, focusing on stocks such as JD, Alibaba, and PDD Holdings.
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