Manhattan Associates’ analyst price target has increased moderately, rising from $227.89 to $231.64. Analysts cite the company’s strong product suite, expanding market position, and robust quarterly results as key drivers for renewed optimism.
Analyst Commentary
Recent analyst coverage of Manhattan Associates reflects an overall positive outlook, with multiple firms initiating new ratings and raising their price targets for the company. Analysts cite strong product innovation and resilient execution as drivers for recent momentum and future growth, while also pointing to a few areas of caution for potential investors.
Bullish Takeaways- Bullish analysts highlight Manhattan Associates’ leading position in the warehouse management systems market and note successful expansion into adjacent solutions such as transportation management and supply-chain planning.
- The company’s cloud-native platform, enhanced by agentic AI initiatives expected later this year, is seen as a catalyst for ongoing market share gains and improved operational efficiency for clients.
- Analysts note robust cross-selling activity into the existing customer base, contributing to durable revenue growth and improved remaining performance obligations.
- Strong second-quarter results, driven by disciplined expense management and new customer wins, have fueled optimism for continued upside in the second half of the year and into 2025.
- Bearish analysts are cautious about valuation, with some maintaining a hold stance despite improved results. Some prefer to wait for a more attractive entry point or further clarity on market headwinds.
- Concerns linger around macroeconomic uncertainties and how new go-to-market changes or tariff-related risks could affect execution and future growth trajectories.
- Some believe current estimates may be achievable, but see a relatively low bar heading into the upcoming earnings cycle. This suggests limited near-term upside.
What's in the News
- Issued updated earnings guidance for Q3 and Q4, with Q3 targeted total revenue between $270 million and $272 million, and Q4 at a midpoint of $267 million. Full-year 2025 revenue is expected between $1,071 million and $1,075 million, and diluted GAAP EPS between $3.23 and $3.31 (Key Developments)
- Repurchased 262,341 shares valued at $49.6 million during Q2 2025. This completed the buyback of over 12.69 million shares since 2017, totaling $1.24 billion and representing 19.51% of shares outstanding (Key Developments)
Valuation Changes
- Consensus Fair Value has risen slightly, increasing from $227.89 to $231.64 per share.
- Discount Rate edged up marginally from 8.40 percent to 8.44 percent.
- Revenue Growth forecast increased fractionally, moving from 7.28 percent to 7.31 percent.
- Net Profit Margin estimate fell slightly from 22.81 percent to 22.76 percent.
- Future P/E ratio projection is up, rising from 56.5x to 57.6x.
Disclaimer
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