Alkami Technology: Buy Rating Affirmed Amid Growth Potential and Strategic Acquisitions

William Blair analyst Christopher Kennedy has reiterated their bullish stance on ALKT stock, giving a Buy rating on May 28.

Christopher Kennedy has given his Buy rating due to a combination of factors that highlight Alkami Technology’s potential for growth and value. Despite the stock’s underperformance compared to the S&P 500, Kennedy views this as a buying opportunity, attributing the pressure on the stock to market skepticism over recent acquisitions and financial moves.
Kennedy is optimistic about the MANTL acquisition, which enhances Alkami’s offerings to banks and opens up cross-selling opportunities. The company’s strong subscription revenue model and long-term growth potential, with significant room to expand its client and user bases, further support the Buy rating. Kennedy also notes that if Alkami continues its current momentum, it could achieve substantial revenue and cash flow growth, reinforcing his positive outlook.

In another report released on May 28, KeyBanc also reiterated a Buy rating on the stock with a $40.00 price target.

Based on the recent corporate insider activity of 97 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ALKT in relation to earlier this year.