Lightspeed Commerce (NYSE:LSPD) Shares Down 9.4% After Analyst Downgrade

Key Points

• Lightspeed Commerce shares fell 9.4% after BTIG Research cut its price target from $15 to $12, even though it kept a buy rating. The stock traded as low as $7.83 during the session.
• Analysts are generally cautious on the name: recent reports include lower price targets, a new underperform rating from Bank of America, and an overall consensus rating of Hold with an average target price of $12.82.
• The company’s latest results showed solid revenue growth and strong cash generation, but earnings missed expectations and its fiscal 2027 outlook was roughly in line to slightly below Wall Street estimates, which likely weighed on sentiment.

Shares of Lightspeed Commerce Inc. (NYSE:LSPD - Get Free Report) dropped 9.4% during mid-day trading on Thursday after BTIG Research lowered their price target on the stock from $15.00 to $12.00. BTIG Research currently has a buy rating on the stock. Lightspeed Commerce traded as low as $7.83 and last traded at $8.12. Approximately 525,623 shares were traded during mid-day trading, a decline of 43% from the average daily volume of 927,689 shares. The stock had previously closed at $8.96.

Other research analysts have also recently issued reports about the stock. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Lightspeed Commerce in a report on Tuesday, April 21st. Barclays lowered their target price on shares of Lightspeed Commerce from $12.00 to $11.00 and set an "equal weight" rating on the stock in a report on Tuesday, April 21st. Bank of America initiated coverage on shares of Lightspeed Commerce in a report on Tuesday. They set an "underperform" rating and a $10.00 target price on the stock. Truist Financial reduced their price target on shares of Lightspeed Commerce from $13.00 to $11.00 and set a "hold" rating on the stock in a research report on Wednesday, February 11th. Finally, Royal Bank Of Canada reduced their price target on shares of Lightspeed Commerce from $15.00 to $13.00 and set an "outperform" rating on the stock in a research report on Friday, February 6th. Three investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $12.82.

Lightspeed Commerce News Roundup

Here are the key news stories impacting Lightspeed Commerce this week:

• Positive Sentiment: Fourth-quarter revenue rose 14.8% year over year to $290.8 million and gross profit increased 15.4% to $129.1 million, showing continued top-line momentum. Lightspeed Announces Fourth Quarter and Full Year 2026 Financial Results and Provides Outlook for Fiscal 2027
• Positive Sentiment: The company reported strong cash generation in fiscal 2026, including $55.5 million in cash from operating activities and $18.2 million in adjusted free cash flow. Lightspeed Announces Fourth Quarter and Full Year 2026 Financial Results and Provides Outlook for Fiscal 2027
• Neutral Sentiment: Lightspeed announced a new normal course issuer bid, authorizing repurchases of up to about 10% of the public float, which may support the shares but does not change the operating outlook. Lightspeed Announces Fourth Quarter and Full Year 2026 Financial Results and Provides Outlook for Fiscal 2027
• Neutral Sentiment: BTIG Research lowered its price target on Lightspeed Commerce to $12 from $15, but kept a Buy rating, suggesting analysts still see upside despite the recent pullback. Benzinga
• Negative Sentiment: Adjusted and reported earnings came in below expectations, with Q4 EPS missing consensus and the company posting another quarterly loss, reinforcing concerns about profitability. Lightspeed Commerce Inc. (LSPD) Lags Q4 Earnings Estimates
• Negative Sentiment: The company’s fiscal 2027 revenue outlook of $1.2 billion to $1.3 billion was roughly in line to slightly below Wall Street expectations, which may have disappointed investors looking for a stronger guide. Lightspeed Announces Fourth Quarter and Full Year 2026 Financial Results and Provides Outlook for Fiscal 2027

Hedge Funds Weigh In On Lightspeed Commerce

Hedge funds have recently bought and sold shares of the company. Plato Investment Management Ltd raised its stake in Lightspeed Commerce by 880.0% during the fourth quarter. Plato Investment Management Ltd now owns 5,292 shares of the company's stock worth $64,000 after buying an additional 4,752 shares during the last quarter. Headlands Technologies LLC bought a new stake in Lightspeed Commerce in the second quarter valued at $92,000. Aigen Investment Management LP bought a new stake in Lightspeed Commerce in the fourth quarter valued at $125,000. Russell Investments Group Ltd. increased its stake in Lightspeed Commerce by 106.4% in the second quarter. Russell Investments Group Ltd. now owns 10,386 shares of the company's stock valued at $122,000 after purchasing an additional 5,354 shares in the last quarter. Finally, Brooklyn Investment Group bought a new stake in Lightspeed Commerce in the fourth quarter valued at $132,000. Institutional investors own 68.68% of the company's stock.

Lightspeed Commerce Trading Down 6.5%

The company has a quick ratio of 4.44, a current ratio of 4.52 and a debt-to-equity ratio of 0.01. The stock has a market capitalization of $1.15 billion, a P/E ratio of -1.81, a P/E/G ratio of 1.70 and a beta of 1.92. The firm's 50 day simple moving average is $9.09 and its two-hundred day simple moving average is $10.40.

Lightspeed Commerce Company Profile

Lightspeed Commerce Inc is a Canadian technology company that develops cloud-based point-of-sale (POS) and e-commerce software for small and medium-sized businesses across the retail and hospitality sectors. Its integrated platform enables merchants to manage sales, inventory, customer relationships and analytics through a single interface. By combining in-store and online channels, Lightspeed helps businesses streamline operations and improve customer engagement in an increasingly omnichannel marketplace.

The company's product suite includes POS terminals, payment processing services, inventory management tools, customer loyalty programs and data reporting dashboards.

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