Needham analyst Mayank Tandon lowered the firm’s price target on Endava (DAVA) to $9 from $12 and keeps a Buy rating on the shares. The company posted Q1 results below expectations on the top and bottom line and lowered FY26 guidance primarily due to an unexpected client credit and subdued pipeline conversion in the quarter, though on a positive note, Endava secured a multi-year relationship with a payments client totaling $100M, the analyst tells investors in a research note. Needham adds however that given its expectations for AI adoption to begin helping growth over 2026 and the potential for increased demand for digital transformation as economic visibility improves, there’s potential for the shares to re-rate over time.
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