TD Cowen downgrades TriNet on ‘even worse than feared’ outlook

TD Cowen analyst Jared Levine downgraded TriNet (TNET) to Hold from Buy with a price target of $74, down from $104, following the Q4 report. The firm sees the shares range-bound over the near-term with a lack of catalysts. TriNet provided an “even worse than feared” fiscal 2025 outlook as it continues to struggle to manage investor expectations, is in the early stages of its strategic initiatives, and faces ongoing uncertainty related to its insurance risks, the analyst tells investors in a research note. TD struggles to see the company materially improving investor sentiment over the next few quarters as proof points of its traction on its various strategic initiatives are not expected until at least Q1 of 2026, “leaving it as a show me story.”