Needham analyst Bernie McTernan has maintained their neutral stance on BYON stock, giving a Hold rating yesterday.
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Bernie McTernan has given his Hold rating due to a combination of factors influencing Beyond Inc’s financial performance. The company reported a better-than-expected adjusted EBITDA for the second quarter, primarily driven by higher-than-anticipated revenue and improved margins. Although the revenue decline was slightly less severe than anticipated, it still represented a significant year-over-year decrease, which raises concerns about the company’s growth trajectory.
Moreover, while the company demonstrated potential operating leverage through lower-than-expected tech and general administrative expenses, the variable expenses were not as favorable due to lower gross margins. McTernan is also awaiting further insights from the company regarding its timeline to return to year-over-year revenue growth, which is not projected until 2026, and updates on monetization opportunities, particularly concerning tZERO. These uncertainties contribute to the Hold rating, as they suggest a cautious approach until more clarity is provided on the company’s future growth and value creation strategies.
In another report released yesterday, TR | OpenAI – 4o also initiated coverage with a Hold rating on the stock with a $10.50 price target.