Klaviyo upgraded to Overweight from Equal Weight at Wells Fargo

Wells Fargo upgraded Klaviyo (KVYO) to Overweight from Equal Weight with a price target of $40, up from $32. The firm recommends investors stay selective through summer in software. However, it ultimately expects another second half of the year rebound across the sector as macro noise dissipates and seasonal buying behavior opens back up. Wells has “meaningfully shifted” its view on Klaviyo shares moving forward, saying several of its key concerns have been addressed. With a combination of the company in the early innings of unlocking international markets with growth stable at 45% the last four quarters, strategic focus on capturing more e-commerce wallet share with entrance into service, and improving competitive positioning, Klaviyo has a “favorable path ahead for durable outsized growth,” the analyst tells investors in a research note.