Analyst Derrick Wood from TD Cowen reiterated a Buy rating on Klaviyo, Inc. Class A and keeping the price target at $45.00.
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Derrick Wood has given his Buy rating due to a combination of factors including Klaviyo’s consistent upward trends and potential for further guidance increases. The company’s recent performance has been strong, with a notable 33% growth in the first quarter, surpassing expectations, and a stable net revenue retention rate of 108%. Additionally, Klaviyo’s sales headcount has been accelerating for eight consecutive quarters, indicating robust demand and growth momentum, particularly in international and up-market segments.
Derrick Wood also highlights Klaviyo’s evolution from a core email/SMS marketing tool to a broader B2C CRM platform, which includes new offerings in Marketing Analytics and Customer Service. Despite trading at a discount compared to its high-growth peers, Klaviyo demonstrates better-than-average revenue growth and a solid Rule of 40 profile. The company’s strong go-to-market execution and the potential for further top-line beats support the Buy rating, as Klaviyo continues to build medium-term growth durability.
In another report released on July 15, Stifel Nicolaus also maintained a Buy rating on the stock with a $40.00 price target.
Based on the recent corporate insider activity of 91 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 KVYO in relation to earlier this year.