BMO Capital analyst Brian Pitz maintained a Buy rating on DoubleVerify Holdings (DV – Research Report) today and set a price target of $24.00.
Brian Pitz has given his Buy rating due to a combination of factors that suggest a positive outlook for DoubleVerify Holdings despite some recent challenges. The company has faced reduced spending from significant clients and political factors that impacted their revenue and adjusted EBITDA for the fourth quarter of 2024. However, Pitz anticipates that DoubleVerify will experience accelerated growth momentum into fiscal year 2026 as it expands its social media products, particularly with Meta and TikTok, and integrates its recent acquisition of Rockerbox.
Additionally, the acquisition of Rockerbox is expected to diversify DoubleVerify’s customer base and reduce dependency on large spending clients, potentially contributing $8 million to revenue by 2025. The company’s strong position in social media measurement, with a 27% growth in 2024, and strategic buyback of shares further support the Buy rating. Pitz maintains an Outperform rating, noting that shares are trading near trough levels, making them an attractive investment opportunity.
In another report released today, Truist Financial also maintained a Buy rating on the stock with a $21.00 price target.
Based on the recent corporate insider activity of 87 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of DV in relation to earlier this year.