On Tuesday, BofA Securities updated their outlook on Global-E Online Ltd (NASDAQ:GLBE) shares, raising the price target to $47.00 from the previous $46.00, while maintaining a Buy rating on the stock.
The adjustment follows the company's impressive first-quarter performance for the fiscal year 2024, which surpassed consensus expectations in gross merchandise volume (GMV), revenue, and adjusted EBITDA.
Global-E Online reported significant growth in the first quarter, leading to an increase in the company's full-year 2024 guidance. The updated forecast includes a $35 million midpoint increase in GMV, a $2 million midpoint rise in revenue, and a $3 million midpoint boost in adjusted EBITDA. These figures represent a solid start to the year for Global-E Online, reflecting robust financial health and operational success.
Despite the raised guidance for 2024 being less than the actual first-quarter beat, and the second-quarter guidance falling short of market expectations, BofA Securities remains optimistic about the company's long-term prospects.
The firm's analyst noted that the long-term bullish thesis for Global-E Online stands firm, with the belief that the company is on track to become the leading platform for global e-commerce cross-border transactions.
The analyst's commentary highlighted the company's solid execution in the first quarter of 2024 as the key reason for the increased price objective.
The positive adjustment indicates confidence in Global-E Online's continued growth trajectory and its ability to capitalize on the expanding market for cross-border e-commerce solutions.
Investors and market watchers will likely keep a close eye on Global-E Online's performance in the coming quarters, as the company strives to maintain its growth momentum and achieve its raised guidance targets for the year 2024.
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