Barclays downgrades AvidXchange to Equal Weight on growth headwinds

Barclays analyst Ramsey El-Assal downgraded AvidXchange (AVDX) to Equal Weight from Overweight with a price target of $8, down from $13. The company’s fiscal 2025 outlook came in below Street estimates as it expects macro headwinds to continue weighing on revenue growth, the analyst tells investors in a research note. The firm moved to the sidelines citing AvidXchange’s macro backdrop and the uncertainty surrounding the company’s normalized growth algorithm. Barclays awaits further evidence on AvidXchange’s “evolving growth” amid weak transaction expectations and headwinds from interest rates.