01:27 PM EDT, 07/08/2024 (MT Newswires) -- Clearwater Analytics Holdings ( CWAN ) could reaccelerate growth next year amid more reasonable investor expectations, Oppenheimer said in a note Monday.

"CWAN has a durable growth story and a defensible moat in the AI era as a system of records and Verticals leader," Oppenheimer analysts, including Brian Schwartz, said. "We also see the business in position to reaccelerate growth next year from expansions strength and deliver upside to estimates."

"These items look underappreciated and should catalyze multiple expansion when more apparent."

The analysts also said investor sentiment has shifted away from high revenue growth forecasts for the foreseeable future, with expectations becoming more reasonable. They upgraded the stock to outperform from perform with a $25 price target.

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