Cardlytics initiated with an In Line at Evercore ISI

Evercore ISI analyst Mark Mahaney initiated coverage of Cardlytics (CDLX) with an In Line rating and $4 price target. Cardlytics primarily operates an ad platform that allows marketers to reach consumers with targeted/incentivized offers inside bank apps and websites, notes the firm, which says that the company has “built a strong moat around its core business” by securing partnerships with four of the five largest U.S. card issuers representing over 60% of U.S. card transaction volumes. After the comapny signed an American Express (AXP) partnership in March, the firm says it expects a boost for MAU and billings in 2025, but it lists key investments risks that include the company’s significant exposure to economically sensitive verticals, its financial institution concentration and a “limited track record of profitable growth.”