Samsara price target raised to $52 from $40 at Morgan Stanley

Morgan Stanley raised the firm’s price target on Samsara (IOT) to $52 from $40 and keeps an Equal Weight rating on the shares. With ARR growing 37% year-over-year in Q2, Samsara is “the fastest growing company within our software coverage group” and given multiple emerging product cycles, a favorable competitive environment, a low market penetration rate, and a best-in-class management team, the firm is “confident this level of premium growth can sustain,” the analyst tells investors. However, while the firm continues to like the story longer-term, it sees a balanced risk/reward heading into Q3 earnings with shares posting a 47% year-to-date outperformance compared to the median software stock, the analyst added.