Rover Group price target raised to $7 from $6 at JMP Securities

JMP Securities analyst Andrew Boone raised the firm’s price target on Rover Group to $7 from $6 and keeps an Outperform rating on the shares. Rover reported a beat and raise quarter for Q2, with revenue 10% above the high end of guidance and EBITDA was $5.5M above the high end of guidance, the analyst tells investors in a research note. JMP Securities believes there is little competition for Rover while it has the profitability and balance sheet to be able to consolidate smaller pet marketplaces and add adjacencies, and sees a clear path to 30%+ EBITDA margins.