Ibotta's (IBTA) Equal Weight Rating Reiterated at Wells Fargo & Company

Key Points

• Wells Fargo & Company has reaffirmed an "equal weight" rating for Ibotta (NYSE:IBTA) with a new target price of $30.00, significantly reduced from $60.00, indicating a potential downside of 13.22% from the current stock price.
• Other analysts have also lowered their ratings, with Goldman Sachs moving from "buy" to "neutral" and Bank of America reducing its target from $57.00 to $24.00.
• Ibotta's most recent earnings report revealed a net margin of 16.24% and revenue growth of 2.8% year-over-year, exceeding analysts' expectations with revenue of $84.57 million.

Ibotta (NYSE:IBTA - Get Free Report)'s stock had its "equal weight" rating reaffirmed by Wells Fargo & Company in a research report issued to clients and investors on Thursday, Marketbeat reports. They presently have a $30.00 target price on the stock, down from their prior target price of $60.00. Wells Fargo & Company's price objective indicates a potential upside of 23.71% from the company's current price.

IBTA has been the topic of several other research reports. UBS Group boosted their price objective on shares of Ibotta from $42.00 to $55.00 and gave the stock a "neutral" rating in a research note on Thursday, May 15th. Needham & Company LLC boosted their price objective on shares of Ibotta from $60.00 to $70.00 and gave the company a "buy" rating in a report on Thursday, May 15th. Evercore ISI reissued an "in-line" rating and set a $38.00 price objective (down from $65.00) on shares of Ibotta in a report on Thursday. The Goldman Sachs Group cut shares of Ibotta from a "buy" rating to a "neutral" rating and reduced their target price for the company from $58.00 to $30.00 in a report on Thursday. Finally, Citigroup cut shares of Ibotta from a "buy" rating to a "market perform" rating in a report on Thursday. One research analyst has rated the stock with a sell rating, seven have assigned a hold rating and one has assigned a buy rating to the company's stock. According to MarketBeat, Ibotta currently has an average rating of "Hold" and a consensus target price of $34.71.

Ibotta Trading Up 2.7%

Shares of IBTA stock traded up $0.63 during mid-day trading on Thursday, reaching $24.25. The stock had a trading volume of 1,708,012 shares, compared to its average volume of 632,901. The stock's 50-day moving average price is $37.18 and its two-hundred day moving average price is $48.63. Ibotta has a 52-week low of $22.50 and a 52-week high of $79.80. The firm has a market capitalization of $612.56 million, a PE ratio of 8.42, a price-to-earnings-growth ratio of 2.01 and a beta of -1.27.

Ibotta (NYSE:IBTA - Get Free Report) last announced its earnings results on Wednesday, May 14th. The company reported $0.02 earnings per share for the quarter, beating analysts' consensus estimates of $0.01 by $0.01. The firm had revenue of $84.57 million for the quarter, compared to analyst estimates of $81.70 million. Ibotta had a net margin of 26.24% and a return on equity of 24.26%. The company's revenue for the quarter was up 2.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.33 EPS.

Ibotta announced that its board has authorized a share repurchase plan on Monday, June 9th that permits the company to repurchase $100.00 million in outstanding shares. This repurchase authorization permits the company to purchase up to 8.5% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's board believes its shares are undervalued.

Insider Transactions at Ibotta

In related news, major shareholder Jermoluk Founders Fund I. Clark sold 1,578,502 shares of Ibotta stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $35.00, for a total value of $55,247,570.00. Following the completion of the sale, the insider directly owned 3,841,308 shares in the company, valued at $134,445,780. This trade represents a 29.12% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CMO Richard I. Donahue sold 85,289 shares of Ibotta stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $43.09, for a total transaction of $3,675,103.01. Following the sale, the chief marketing officer owned 199,773 shares of the company's stock, valued at approximately $8,608,218.57. The trade was a 29.92% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 2,192,224 shares of company stock worth $78,652,577 over the last 90 days. Company insiders own 16.08% of the company's stock.

Hedge Funds Weigh In On Ibotta

Several institutional investors have recently made changes to their positions in IBTA. Southpoint Capital Advisors LP boosted its stake in Ibotta by 48.2% during the 1st quarter. Southpoint Capital Advisors LP now owns 1,536,500 shares of the company's stock worth $64,840,000 after purchasing an additional 499,556 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. boosted its stake in Ibotta by 6.6% during the 2nd quarter. Sumitomo Mitsui Trust Group Inc. now owns 1,113,165 shares of the company's stock worth $40,742,000 after purchasing an additional 69,407 shares during the last quarter. Nikko Asset Management Americas Inc. boosted its stake in Ibotta by 5.1% during the 2nd quarter. Nikko Asset Management Americas Inc. now owns 1,107,338 shares of the company's stock worth $40,529,000 after purchasing an additional 53,820 shares during the last quarter. ARK Investment Management LLC boosted its position in shares of Ibotta by 299.8% during the 1st quarter. ARK Investment Management LLC now owns 704,308 shares of the company's stock valued at $29,722,000 after acquiring an additional 528,147 shares during the last quarter. Finally, JPMorgan Chase & Co. boosted its position in shares of Ibotta by 481.8% during the 2nd quarter. JPMorgan Chase & Co. now owns 654,876 shares of the company's stock valued at $23,968,000 after acquiring an additional 542,313 shares during the last quarter.

About Ibotta

Ibotta's mission is to Make Every Purchase Rewarding. Our technology allows CPG brands to deliver digital promotions to over 200 million consumers through a single, convenient network called the Ibotta Performance Network (IPN). We are pioneers in success-based marketing: we only get paid when our client's promotion results in a sale, not when a consumer merely views or clicks on the promotion.