Sep. 19 at 3:40 PM
BTIG upgraded Fiverr International to Buy from Neutral on Friday, setting a
$31 price target, implying 23% upside. Multiple catalysts support the stock, including restructuring, lower client borrowing costs, and valuation. Previously, BTIG saw Fiverr’s valuation as attractive but lacked additional reasons to own it.
The recent restructuring cuts ~30% of staff, saving ~$ 30M annually, shifting BTIG’s outlook. FVRR reiterated guidance, emphasizing the restructuring doesn’t reflect business weakness. If all savings flow to the bottom line, FY26 EBITDA could rise ~30%, though management plans to reinvest about half for growth.
BTIG also noted shares are cheaper than earlier in the week on an EV/EBITDA basis. A second catalyst is this week’s Fed rate cut, which should allow banks to lower loan rates, benefiting Fiverr’s SME clients and potentially improving hiring intentions.
$FVRR