
TSE:LSPD
This summary was created by AI, based on 7 opinions in the last 12 months.
Lightspeed Commerce Inc. (LSPD-T) is currently perceived as a struggling player in the competitive software space, with significant volatility and mixed sentiment among analysts. While its recent performance has been challenging, particularly following management changes that have affected morale, some experts remain hopeful due to its generation of free cash flow and potential for corporate restructuring. Despite the optimism, the stock's chart does not provide much reason for immediate confidence and it has recorded a notable decline of around 80% from its peak, indicating a cautionary approach is advisable. Analysts have contrasting views on its future, suggesting it might reach as low as $17 before potentially recovering, leading to a debate on when exactly to invest for a turnaround.
Billy Kawasaki’s Insights - Picks from 5i Research. The company started trading in the US today. There may be some volatility as it is a small company by US standards, but investors in the states might be willing to pay more for the valuation potential. Some investors might buy it just in case it is the next Shopify. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The stock reached its 52-week high recently. E-commerce providers have been gaining attention due to the pandemic. Last quarter results were positive considering the lockdown and other headwinds. The long-term outlook is positive with a mix of organic and acquisition growth. Unlock Premium - Try 5i Free
They don't fit his investing criteria. LSPD's topline has been shooting up, but they aren't yet profitable. They're like Shopify. He looks for companies that generate return on capital for three years in a row--this shows consistency and profitability. That said, LSPD could do quite well. Caveat: watch your allocation of LSPD in your portfolio with stocks like this--they can soar or plunge more than most other stocks and impact your portfolio. So, if you buy this, buy an appropriate amount.
Billy Kawasaki’s Insights - Picks from 5i Research. The company has client size and vertical focus advantage compared to others in the field. They can charge a higher price point from their large medium sized businesses. Although in-store purchases remain a headwind, they adapted well on the e-commerce size. Unlock Premium - Try 5i Free