GigaCloud price target lowered to $26 from $50 at Lake Street

Lake Street analyst Ryan Meyers lowered the firm’s price target on GigaCloud (GCT) to $26 from $50 and keeps a Buy rating on the shares. The company reported “mixed” Q4 results and Q1 revenue was guided to $250M-$265M, below the $281.4M consensus estimate, the analyst tells investors. While the first half financial guidance implies a significant deceleration in the growth rate and results below expectations, the stock is trading at an “extremely compelling valuation,” the firm argues. Though shares will likely remain range-bound in the near term, Lake Street thinks the investment thesis remains unchanged and believes the stock can “work higher as results improve towards the second half of the year,” the analyst added.