-- Stifel Canada lowered its price target on the shares of Kinaxis (KXS.TO) by $45.00 to $200.00 ahead of the company reporting its first-quarter results today after market close.
Analyst Suthan Sukumar, who is maintaining a buy rating on the company, sees a favorable demand backdrop in light of the ongoing tariff/geopolitical disruptions to global supply chains.
"AI traction remains early days, but we continue to see KXS uniquely positioned to monetize AI with potential for upside over the year given its extensive proprietary and real-time supply chain data, domain expertise, and deep integration into workflows for a highly captive and sticky client base," Sukumar writes.
Acknowledging that the stock is "not inexpensive," Sukumar says durable industry tailwinds and a F26 SaaS guide that is already nearly ~90% covered by existing backlog, highlights the potential for beat-and-raises ahead.
"KXS remains a top-pick in our coverage, though our target goes lower to $200/share to reflect recent incremental software sector multiple compression."
Price: $139.55, Change: $-3.09, Percent Change: -2.17%