Gambling.com price target lowered to $15 from $18 at Stifel

Stifel lowered the firm’s price target on Gambling.com (GAMB) to $15 from $18 and keeps a Buy rating on the shares. Despite having reported a 1% Q2 adjusted EBITDA beat, the company lowered its FY25 adjusted EBITDA guidance by 7% at midpoint, reflecting the impact to SEO from GenAI growth and a temporary disruption to search rankings from early-Q3 Google updates, notes the analyst, who adds that management’s tone on the net impact from rapid GenAI growth was “markedly worse” compared to Q1. While the firm expects shares to come under pressure, it keeps a Buy rating for now as it believes the company’s proprietary tech, high authority sites, and strong leadership “positions them well” to navigate a transition to alternative user monetization strategies.