William Blair analyst Stephen Sheldon has reiterated their bullish stance on PAR stock, giving a Buy rating today.
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Stephen Sheldon has given his Buy rating due to a combination of factors including Par Technology’s promising pipeline and strategic positioning. Despite the mixed second-quarter results, where annual recurring revenue (ARR) fell short of expectations, the company’s revenue exceeded forecasts, primarily driven by hardware sales. The management’s outlook remains positive, with expectations of mid-teens organic ARR growth in 2025, which, although revised down from previous estimates, still reflects a solid growth trajectory.
Moreover, the company has not lost any contractual revenue and anticipates significant ARR going live in the coming quarters. The rollout of major projects, such as those with Burger King and Popeyes, is progressing as planned, and the company boasts a robust pipeline of nearly $100 million in ARR. These factors, coupled with advanced-stage discussions with major restaurant brands, underpin Sheldon’s confidence in Par Technology’s future growth potential.
Sheldon covers the Technology sector, focusing on stocks such as Agilysys, Par Technology, and Olo. According to TipRanks, Sheldon has an average return of 9.4% and a 59.60% success rate on recommended stocks.