UBS analyst Taylor McGinnis reiterated a Buy rating on Bill.com Holdings today and set a price target of $55.00.
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Taylor McGinnis has given his Buy rating due to a combination of factors that balance softer growth with improving profitability. While recent core revenue trends and transaction volumes were slightly weaker than earlier expectations, management’s decision to materially reduce headcount and streamline operations is expected to create a structurally leaner, more AI-focused organization with better long-term efficiency.
These restructuring actions are projected to generate substantial net cost savings, supporting a notable step-up in future EBIT margins and free cash flow. On McGinnis’s estimates, the improved margin outlook, combined with the current valuation at roughly 9x projected CY26 free cash flow, suggests that the stock is undervalued relative to its earnings power, providing room for share price appreciation and justifying a Buy recommendation.
In another report released yesterday, BTIG also reiterated a Buy rating on the stock with a $60.00 price target.