- KeyBanc analyst Josh Beck maintained Squarespace, Inc SQSP with an Overweight and cut the price target from $25 to $22.
- Squarespace reported revenue relatively in line with the Street, with EBITDA a bit below, and lowered the FY revenue outlook impacted partly by slower GMV trends, negatively affected by discretionary spending macro-related headwinds.
- Bookings trend rose in constant currency as churn related to price increases outperformed expectations, encouraging developments.
- The company highlighted Squarespace Refresh, an annual campaign showcasing 100 new products, and Circle Day for professional designers.
- He cut his revenue estimates primarily on lower GMV estimates leading to the price target cut.
- He continues to see multiple growth levers, including pricing optimization, Tock and scheduling, international, and payments.
- Credit Suisse analyst Timothy Chiodo reiterated Squarespace with a Neutral and lowered the price target from $25 to $24.
- He highlighted cost discipline amidst macro challenges, with potential self-help from pricing increases.
- He updated his longer-term revenue and gross profit forecast illustrating Squarespace Payments' potential impact on GMV, revenue, and gross margin.
- RBC Capital analyst Brad Erickson reiterated Sector Perform and a $22 price target.
- SQSP's Q3 report was mixed but generally demonstrated durable overall trends. He adjusted his estimates.
- He sought more confidence in a better recovery in new business formation or some share gain story for a more constructive rating.
- Price Action: SQSP shares traded higher by 7.08% at $20.935 on the last check Wednesday.
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