Procore initiated with a Buy at TD Cowen with ‘strong moat built’

As previously reported, TD Cowen initiated coverage of Procore with a Buy rating and $85 price target. The construction industry is large and still early in its digital transformation, while Procore has durable competitive advantages and the firm’s checks were “bullish,” the analyst tells investors. The firm thinks FY24 guidance is “conservative” and sees good potential for greater than 20% growth in FY25, adding that it alsos like the insulation from AI what it sees as an “attractive valuation.”