Accolade (ACCD) Stock: $8 Target And Equal-Weight Rating

By Amit Chowdhry ● Jul 11, 2022
  • The shares of Accolade Inc. (NASDAQ: ACCD) have received an $8 price target from Wells Fargo. These are the details.

The shares of Accolade Inc. (NASDAQ: ACCD) have received an $8 price target from Wells Fargo. And Wells Fargo analyst Stan Berenshteyn increased the price target on Accolade from $6 while maintaining an “Equal-Weight” rating on the shares.

Berenshteyn adjusted the rating while citing the company’s first quarter results in late June.

“The company put up a modest beat in the quarter. While bottom end of revenue guidance moved up, adj. EBITDA expectations for the full year remained unchanged, which we attribute to wage inflation pressures. We outline a more detailed reaction to the quarter in our previous note, but the key takeaway for us was comments surrounding robust RFP volumes, steady win rates, & demonstrated pricing power despite an increasingly competitive environment,” wrote Berenshteyn in a research note. “While we believe Accolade may end up moving a greater mix of revenue toward performance based contracts, we think this will allow the company to remain competitive while potentially avoiding a margin-sapping price war to maintain revenue growth.”

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