Life360 Shs Chess Depository Interests Repr 3 Sh (LIFX – Research Report), the Technology sector company, was revisited by a Wall Street analyst on February 28. Analyst James Bales from Morgan Stanley maintained a Buy rating on the stock and has a A$28.60 price target.
James Bales has given his Buy rating due to a combination of factors that highlight Life360’s strong financial performance and promising future prospects. The company exceeded expectations in sales and EBITDA for the fourth quarter of 2024, with a notable 9% EBITDA beat for the full fiscal year. This strong performance was driven by a significant increase in advertising revenue and strategic international subscription pricing, which are expected to continue growing in the coming year.
Moreover, Life360’s guidance for fiscal year 2025 indicates robust revenue growth, particularly from subscriptions and advertising, while reducing reliance on hardware sales. The company’s proactive reinvestment strategy, including the launch of a new Pet tracking product, is seen as a way to maintain earnings expectations while capitalizing on revenue visibility. These factors, combined with a favorable market position and strategic initiatives, underpin Bales’s positive outlook and Buy rating for the stock.