Analyst Chris Pierce of Needham reiterated a Buy rating on Urgent.ly Inc (ULY – Research Report), retaining the price target of $12.00.
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Chris Pierce has given his Buy rating due to a combination of factors that highlight Urgent.ly Inc’s potential for growth and financial stability. Despite facing challenges from client losses, the company is showing promise by identifying new customer opportunities and exceeding expectations in terms of margin and operational expenditure leverage.
Furthermore, Urgent.ly Inc has reiterated its guidance for achieving self-funding status in the latter half of 2025 and has already reached a non-GAAP operating income breakeven point for March. While the balance sheet remains a concern, recent developments such as a $20 million capital line and debt extension suggest that imminent risks are diminishing. The company is poised to negotiate better terms as it progresses into 2026, with 2025 expected to be a low point in revenue. The $12 target price reflects a 5x multiple on the adjusted EBITDA estimate for the fiscal year 2027, indicating confidence in the company’s cost management and operational discipline.
Pierce covers the Consumer Cyclical sector, focusing on stocks such as Carvana Co, EVgo, and Sonic Automotive. According to TipRanks, Pierce has an average return of -11.2% and a 41.48% success rate on recommended stocks.