Piper Sandler Cuts ServiceTitan (NASDAQ:TTAN) Price Target to $110.00

ServiceTitan (NASDAQ:TTAN) had its target price reduced by Piper Sandler from $115.00 to $110.00 in a research note published on Wednesday,Benzinga reports. Piper Sandler currently has an overweight rating on the stock.

TTAN has been the subject of several other reports. Wells Fargo & Company lowered their target price on shares of ServiceTitan from $115.00 to $105.00 and set an “overweight” rating for the company in a research note on Wednesday. Needham & Company LLC restated a “buy” rating and set a $100.00 price objective on shares of ServiceTitan in a report on Wednesday. Evercore set a $90.00 price objective on ServiceTitan in a research report on Wednesday. UBS Group reiterated a “buy” rating on shares of ServiceTitan in a research note on Wednesday, July 22nd. Finally, Citigroup reiterated a “neutral” rating on shares of ServiceTitan in a research note on Monday, June 8th. Fourteen equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $96.38.

ServiceTitan Trading Down 2.4%

Shares of TTAN stock opened at $54.68 on Wednesday. The company has a market capitalization of $5.22 billion, a price-to-earnings ratio of -40.21 and a beta of 0.11. The firm has a 50-day moving average price of $83.41 and a 200 day moving average price of $72.42. ServiceTitan has a twelve month low of $53.80 and a twelve month high of $119.60.

ServiceTitan (NASDAQ:TTAN) last issued its quarterly earnings results on Tuesday, September 8th. The company reported $0.40 EPS for the quarter, topping analysts’ consensus estimates of $0.35 by $0.05. The business had revenue of $292.76 million during the quarter, compared to the consensus estimate of $285.89 million. ServiceTitan had a negative net margin of 12.12% and a negative return on equity of 5.65%. The company’s quarterly revenue was up 20.9% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.33 earnings per share. As a group, research analysts predict that ServiceTitan will post -0.54 earnings per share for the current year.

Insider Activity

In other ServiceTitan news, CEO Ara Mahdessian sold 51,947 shares of the business’s stock in a transaction that occurred on Tuesday, July 7th. The shares were sold at an average price of $80.98, for a total transaction of $4,206,668.06. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Iconiq Strategic Partners V, L sold 94,415 shares of the stock in a transaction on Tuesday, June 23rd. The stock was sold at an average price of $63.43, for a total transaction of $5,988,743.45. Following the completion of the sale, the insider directly owned 443,221 shares of the company’s stock, valued at $28,113,508.03. The trade was a 17.56% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 514,837 shares of company stock valued at $39,203,222 over the last quarter. 39.89% of the stock is owned by insiders.

Hedge Funds Weigh In On ServiceTitan

Several hedge funds and other institutional investors have recently bought and sold shares of TTAN. Northwestern Mutual Wealth Management Co. grew its position in ServiceTitan by 1,005.1% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 431 shares of the company’s stock valued at $46,000 after acquiring an additional 392 shares in the last quarter. Sunbelt Securities Inc. lifted its position in shares of ServiceTitan by 391.0% during the fourth quarter. Sunbelt Securities Inc. now owns 491 shares of the company’s stock worth $52,000 after purchasing an additional 391 shares in the last quarter. Parallel Advisors LLC lifted its position in shares of ServiceTitan by 161.7% during the third quarter. Parallel Advisors LLC now owns 526 shares of the company’s stock worth $53,000 after purchasing an additional 325 shares in the last quarter. Daiwa Securities Group Inc. purchased a new position in shares of ServiceTitan in the fourth quarter valued at $68,000. Finally, State of Wyoming purchased a new position in shares of ServiceTitan in the first quarter valued at $48,000.

Key Stories Impacting ServiceTitan

Here are the key news stories impacting ServiceTitan this week:

• Positive Sentiment: ServiceTitan reported fiscal Q2 revenue of approximately $292.8 million, up 21% year over year, exceeding analyst expectations. Non-GAAP free cash flow reached a record $50.5 million, while the non-GAAP operating margin improved to 15.2%. ServiceTitan Bets on Max Despite Near-Term Headwinds
• Positive Sentiment: BTIG Research reaffirmed its “Buy” rating, indicating that at least one analyst believes the recent selloff has created an attractive long-term entry point. BTIG Reaffirms Buy Rating
• Neutral Sentiment: Analyst coverage remains mixed. Citigroup, Stifel Nicolaus, TD Cowen and Piper Sandler all reduced their price targets to $76, $100, $100 and $110, respectively, while still maintaining targets well above the recent trading level. Citigroup Lowers Price Target
• Negative Sentiment: The primary catalyst for the selloff was disclosure of unexpected revenue-recognition timing differences and slower year-over-year growth in fiscal Q2. Investors appear concerned that reported results may not fully reflect the underlying pace of demand, even though revenue and adjusted profitability exceeded estimates. ServiceTitan Scrutinized Over Revenue Timing
• Negative Sentiment: Robert W. Baird, KeyCorp and BMO Capital Markets issued more pessimistic forecasts, adding to concerns about valuation, near-term execution and the company’s continued net losses. Baird Issues Pessimistic Forecast
• Negative Sentiment: Commentary following the earnings call concluded that the quarter was not disastrous but was insufficient to support an analyst upgrade, reinforcing the market’s cautious view of ServiceTitan’s near-term outlook. ServiceTitan Q2 Analysis

About ServiceTitan

ServiceTitan, Inc develops cloud-based software designed to help residential and commercial contractors manage and grow their businesses. Its platform supports trades such as heating, ventilation and air conditioning, plumbing, electrical, roofing, and other field-service industries.

The company’s products and services cover key business functions, including customer relationship management, lead generation, scheduling and dispatching, estimates, job management, invoicing, payments, financing, payroll, and business analytics.