MediaValet wins price target raise from Industrial Alliance Securities

Following the company’s fourth quarter results, Industrial Alliance Securities analyst Neehal Upadhyaya is feeling bullish about MediaValet (MediaValet Stock Quote, Chart, News, Analysts, Financial TSX:MVP).

On March 14, MVP reported its Q4 and fiscal 2022 results. For the full year, the company posted an EBITDA loss of $9.68-million on revenue of $12.84-million, a topline that was up 37 per cent over the year prior.

“MediaValet continued its multi-year track record of strong performance in 2022 in spite of broad economic challenges,” CEO Rob Chase said. “We have increased our customer focus and balanced our investment horizon to continue providing unrivalled support, an ease-of-use DAM experience and innovative solutions that maximize and extend the value of our customers’ digital assets and customer experience platforms. I am proud to be a part of such a talented group of leaders as we deliver on the next stage of growth and drive toward profitability with increasing focus and accountability.”

Upadhyaya says this was a strong operational quarter, noting that the company’s Adjusted EBITDA profile is improving. He noted the “excellent underlying numbers” said the company’s “customer pipeline remains robust”.

In a research update to clients today, the analyst maintained his “Buy” rating and raised his one-year price target on the stock from $1.50 to $1.55, implying a return of 19.2 per cent at the time of publication.

Upadhyaya thinks MVP will post Adjusted EBITDA of negative $6.1-million on revenue of $17.1-million in fiscal 2023.