In a report released yesterday, Allen Klee from Maxim Group maintained a Buy rating on Ryde Group Limited Class A (RYDE – Research Report), with a price target of $0.60.
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Allen Klee has given his Buy rating due to a combination of factors including Ryde Group Limited’s strategic acquisition and growth potential. The company recently acquired a 40% stake in Atoll Discovery Pte Ltd, a Singapore-based electric vehicle rental company, which is expected to create synergies by converting renters into drivers for Ryde’s platform. This acquisition is anticipated to indirectly boost revenue and enhance Ryde’s green mobility footprint without diverting resources from its core business.
Additionally, Ryde’s plans for geographical expansion and new offerings, such as the introduction of more electric vehicles and collaborations with other platforms, are expected to drive revenue growth. The company ended 2024 with a strong cash position and no debt, although additional capital may be needed in the latter half of 2025. Trading at a low revenue multiple, Ryde’s stock is seen as undervalued, with a 12-month price target of $0.60 based on a discounted cash flow analysis.