Instacart price target raised to $55 at Citizens JMP, buy shares on any pullback

Citizens JMP raised the firm’s price target on Instacart (CART) to $55 from $51 and keeps an Outperform rating on the shares. Instacart’s Gross Transaction Value for Q4 was at the high end of guidance and EBITDA was $12M above the high end of guidance, and while GTV guidance for Q1 was above consensus, Q1 EBITDA guidance was 5% below consensus, the analyst tells investors in a research note. Despite the competitive nature of digital grocery, the firm believes the $1T+ grocery market can support multiple winners, and continues to be a buyer of shares, especially on any pullback.