08:35 AM EDT, 05/09/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lift our 12-month target by $6 to $28, calculated using a 2024 EV/EBITDA multiple of 10x (up from 8x) against our 2024 adj-EBITDA estimate of $791M (up from $657M). We lift our 2024 adj-EPS to $2.12 from $1.77 and 2025's to $2.19 from $1.83. Q1 revenue of $820M (+8% Y/Y) beat the $796M consensus. Gross transaction value (GTV) grew 11% to $8,319M, above the $8,160M consensus, partly driven by Leap Year (1pt benefit) and adverse weather. Adj-EBITDA of $198M beat the $159M consensus, with EBITDA margin up 190 bps Y/Y to 24.1%. Q2 GTV outlook of $8.00B-$8.15B (+7-9% Y/Y) was slightly below consensus and is a notable deceleration from Q1's GTV growth of 11%. Our Sell opinion reflects our view that GTV growth will face pressure due to macro headwinds and rising competition from the likes of Amazon, Walmart, and Target. We also believe the recent margin expansion is unsustainable, as CART will likely have to reinvest to support the top line. We note CART's top three customers made up 43% of its GTV in 2023.