Morgan Stanley analyst Adam Wood has maintained their neutral stance on SWON stock, giving a Hold rating today.
Adam Wood has given his Hold rating due to a combination of factors affecting SoftwareOne Holding Ltd. While the company’s fourth-quarter results showed an adjusted EBITDA in line with expectations, the overall revenue fell short, particularly in the Solution & Cloud Marketplace division, which saw significant declines due to go-to-market execution issues and weaker customer spending at year-end.
Despite the shortfall in revenue, the guidance for 2025’s adjusted EBITDA is more optimistic, suggesting potential future improvement. However, Adam Wood believes that investors may remain cautious until there is tangible evidence of the company’s ability to meet these expectations. Additionally, the upcoming change in CFO might introduce some uncertainty, warranting a Hold rating as investors await more clarity on the company’s execution of its strategic goals.
In another report released today, Stifel Nicolaus also maintained a Hold rating on the stock with a CHF13.00 price target.
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