Evolv Technologies: Strengthening Recurring Growth, Expanding Customer Base, and Strategic Partnerships Support Buy Rating and $10 Target

Evolv Technologies Holdings, the Industrials sector company, was revisited by a Wall Street analyst today. Analyst Shaul Eyal from TD Cowen reiterated a Buy rating on the stock and has a $10.00 price target.

Shaul Eyal has given his Buy rating due to a combination of factors that point to sustained growth and improving fundamentals at Evolv Technologies. He expects the company to post solid fourth quarter results for 2025, underpinned by robust year-over-year unit expansion in line with management’s 30% growth indication. In his view, the customer base is sticking with the platform, recurring revenue is increasing, and profitability is moving in the right direction, all supported by recent quarters that featured the firm’s largest contract to date and a record ratio of booked to deployed systems. Management’s outlook for 2026—calling for revenue in the $160–$165 million range and annual recurring revenue growth of at least 20%—reinforces his confidence that growth will outpace the broader topline and support long-term value creation.

Eyal also highlights the ongoing expansion in active customers, projecting Evolv will close 2025 with roughly 8,000 to 8,100 users, with education remaining the core vertical and additional momentum from sports, entertainment, and healthcare. He notes that unit volumes are set to climb further in 2026, while average revenue per unit should stay steady, suggesting scalable growth without pricing pressure. The company’s newer Expedite solution, an autonomous AI-driven bag screening offering launched in late 2024, is already driving strong interest in the school market and pairing well with the existing Express product, adding another lever for growth. Finally, he views the recently announced manufacturing partnership with Plexus as a strategic advantage that should enhance Evolv’s operational capabilities and support the company’s multi-year growth trajectory, underlining his Buy rating and $10 price target.

Based on the recent corporate insider activity of 26 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of EVLV in relation to earlier this year.