Analyst Scott Buck from H.C. Wainwright maintained a Buy rating on BlackSky Technology (BKSY – Research Report) and keeping the price target at $20.00.
Scott Buck’s rating is based on several key factors that suggest a positive outlook for BlackSky Technology. Despite the company’s revenue for the fourth quarter of 2024 falling short of expectations, the launch of its first Gen-3 satellite has been met with favorable customer feedback, indicating potential for future growth. Additionally, BlackSky has secured over $150 million in recent contract wins, reflecting strong market demand driven by geopolitical factors.
Furthermore, the company’s guidance for 2025 revenue aligns with market expectations, and the successful launch of more Gen-3 satellites is anticipated to create new revenue opportunities. While revenue figures were lower, the company’s gross margin exceeded expectations, and operating expenses were well-managed, resulting in a positive adjusted EBITDA. These factors, combined with a stable cash position, support the Buy rating and a price target of $20.
Buck covers the Technology sector, focusing on stocks such as Lightpath Technologies, SoundHound AI, Inc Class A, and Mitek Systems. According to TipRanks, Buck has an average return of -16.4% and a 24.90% success rate on recommended stocks.
In another report released yesterday, Lake Street also maintained a Buy rating on the stock with a $18.00 price target.