KeyCorp Lowers ServiceTitan (NASDAQ:TTAN) Price Target to $110.00

Key Points

• KeyCorp lowered ServiceTitan’s price target from $120 to $110 while maintaining an “overweight” rating, implying 34.84% upside from the prior close.
• Analyst sentiment remains positive overall, with 14 Buy, two Hold, and one Sell rating; the consensus rating is “Moderate Buy” with an average price target of $106.67.
• ServiceTitan exceeded fiscal Q2 expectations with $0.40 adjusted EPS and $292.76 million in revenue, up 20.9% year over year, but slightly weaker Q3 revenue guidance and a chief revenue officer transition have raised concerns about future growth execution.

ServiceTitan (NASDAQ:TTAN - Get Free Report) had its target price cut by KeyCorp from $120.00 to $110.00 in a research report issued on Wednesday, Benzinga reports. The firm currently has an "overweight" rating on the stock. KeyCorp's price objective points to a potential upside of 34.84% from the stock's previous close.

A number of other brokerages also recently weighed in on TTAN. TD Cowen boosted their target price on shares of ServiceTitan from $110.00 to $125.00 and gave the stock a "buy" rating in a research note on Friday, June 5th. Morgan Stanley raised their price target on shares of ServiceTitan from $118.00 to $124.00 and gave the company an "overweight" rating in a report on Friday, June 5th. Truist Financial reaffirmed a "buy" rating and set a $110.00 price objective (up from $100.00) on shares of ServiceTitan in a report on Friday, June 5th. Citigroup reiterated a "neutral" rating on shares of ServiceTitan in a research report on Monday, June 8th. Finally, UBS Group reissued a "buy" rating on shares of ServiceTitan in a research note on Wednesday, July 22nd. Fourteen analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $106.67.

ServiceTitan Stock Performance

Shares of NASDAQ:TTAN opened at $81.58 on Wednesday. ServiceTitan has a twelve month low of $54.17 and a twelve month high of $119.99. The firm has a market cap of $7.78 billion, a PE ratio of -56.26 and a beta of 0.11. The business has a fifty day moving average of $84.66 and a 200-day moving average of $72.69.

ServiceTitan (NASDAQ:TTAN - Get Free Report) last issued its quarterly earnings results on Tuesday, September 8th. The company reported $0.40 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.05. ServiceTitan had a negative net margin of 13.44% and a negative return on equity of 5.59%. The business had revenue of $292.76 million for the quarter, compared to the consensus estimate of $285.89 million. During the same quarter in the prior year, the company earned $0.33 EPS. The firm's quarterly revenue was up 20.9% on a year-over-year basis. On average, analysts anticipate that ServiceTitan will post -0.54 EPS for the current fiscal year.

Insider Transactions at ServiceTitan

In other ServiceTitan news, President Vahe Kuzoyan sold 114,732 shares of the firm's stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $88.84, for a total value of $10,192,790.88. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Ara Mahdessian sold 51,947 shares of ServiceTitan stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $80.98, for a total transaction of $4,206,668.06. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 514,837 shares of company stock valued at $39,203,222. 39.89% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of TTAN. California State Teachers Retirement System increased its stake in ServiceTitan by 7,065.5% in the second quarter. California State Teachers Retirement System now owns 4,537,461 shares of the company's stock valued at $320,844,000 after purchasing an additional 4,474,137 shares in the last quarter. Norges Bank acquired a new position in shares of ServiceTitan in the 4th quarter valued at $112,678,000. Fuller & Thaler Asset Management Inc. acquired a new position in shares of ServiceTitan in the 4th quarter valued at $89,702,000. Madison Asset Management LLC bought a new stake in shares of ServiceTitan in the 2nd quarter valued at $56,118,000. Finally, Atreides Management LP bought a new stake in shares of ServiceTitan in the 2nd quarter valued at $68,679,000.

ServiceTitan News Roundup

Here are the key news stories impacting ServiceTitan this week:

• Positive Sentiment: ServiceTitan reported fiscal Q2 adjusted earnings of $0.40 per share, above the roughly $0.35-$0.36 analyst consensus, while revenue of $292.76 million exceeded expectations near $285.9 million. Revenue increased 20.9% year over year, and earnings improved from $0.33 per share in the prior-year quarter. ServiceTitan Announces Fiscal Second Quarter Financial Results
• Positive Sentiment: The quarterly results suggest continued demand for ServiceTitan’s software platform for the trades, with revenue growth and profitability ahead of Wall Street expectations. ServiceTitan Q2 Earnings and Revenues Surpass Estimates
• Neutral Sentiment: ServiceTitan appointed company veteran Rikus Pretorius as its next chief revenue officer. Current CRO Ross Biestman will remain through the end of the fiscal year, making the transition orderly but adding uncertainty around the sales organization’s execution. ServiceTitan Names Rikus Pretorius Next Chief Revenue Officer
• Negative Sentiment: Fiscal Q3 revenue guidance of $285 million-$287 million came in slightly below the $287.8 million consensus estimate. The outlook, combined with the CRO transition, overshadowed the strong Q2 results and has led to a sharp decline in the stock. Why ServiceTitan Stock Is Diving After Earnings Beat
• Negative Sentiment: Management’s sales-leadership shakeup is raising investor concerns about growth execution, particularly because the company remains unprofitable on a GAAP basis and analysts expect a full-year loss. ServiceTitan Tumbles as Management Shakeup Overshadows Results

ServiceTitan Company Profile

ServiceTitan, Inc NASDAQ: TTAN is a cloud-based software provider specializing in end-to-end business management solutions for residential and commercial trade contractors. The company's platform integrates customer relationship management, scheduling and dispatch, mobile workforce management, invoicing, payments and reporting tools into a single suite. By automating key back-office processes, ServiceTitan helps field service businesses improve operational efficiency, enhance customer experience and drive revenue growth.

At the core of ServiceTitan's offering is a mobile application that allows technicians to access job details, update work orders, capture signatures and process payments from the field.

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