Via Transportation: Undervalued Growth Leader in Public Transit Tech with Compelling Risk/Reward Upside

Via Transportation, Inc. Class A, the Technology sector company, was revisited by a Wall Street analyst today. Analyst Josh Baer from Morgan Stanley upgraded the rating on the stock to a Buy and gave it a $41.00 price target.

Josh Baer has given his Buy rating due to a combination of factors that highlight an attractive risk/reward profile for Via Transportation, Inc. Class A. He notes that the stock is trading at a substantial discount to its core vertical software peers on key valuation metrics, even after accounting for growth, which he believes is not justified given Via’s strong and durable growth outlook. Baer emphasizes Via’s differentiated platform and significant competitive moat, which position the company to capture a large share of the sizable and still underpenetrated public transit technology market. He also points out that the recent share price pullback since the Q3 results has created a compelling entry point, especially as the company’s long-term fundamentals remain intact.

Furthermore, Baer’s new $41 price target is grounded in a long-term free cash flow framework, applying a multiple that still leaves Via valued below its most comparable high-quality peer while assuming Via’s superior growth trajectory. On a growth-adjusted basis, the stock continues to trade at a notable discount to the peer group, reinforcing the upside potential if the valuation gap narrows over time. He acknowledges that re-rating may take time, but concludes that the medium-term balance of risk and reward is skewed favorably for investors willing to look beyond near-term volatility. Collectively, these valuation, market opportunity, and competitive positioning factors justify his Overweight/Buy stance on Via.

In another report released on January 13, Goldman Sachs also upgraded the stock to a Buy with a $44.00 price target.