Evercore ISI Upgrades CCC Intelligent Solutions Holdings Inc. (CCCS) to Outperform, 'Steady Vertical SaaS Story With AI Catalyst'

Evercore ISI analyst Kirk Materne upgraded CCC Intelligent Solutions Holdings Inc. (NASDAQ: CCCS) from In Line to Outperform with a price target of $13.00 (from $11.00).

The analyst comments "We are upgrading CCCS to Outperform and bumping our PT to $13 as we believe the risk/reward skews to the upside for investors looking for a SMID-cap name that plays in a vertical market with a wide competitive moat. CCCS is a leading provider of innovative cloud, mobile, telematics, hyperscale technologies, and applications for the P&C insurance economy and the company has been on an ‘AI journey’ long before it became the trend du jour. This focus on innovation has led to the introduction of a number of AI-infused products including Estimate STP, Casualty, and the CCC One platform, which puts CCCS in a strong position to potentially outpace our/Street estimates (~8.5%) and the mid-point of its long-term revenue growth outlook of ~7-10%. At ~18.5x EV/adj. EBITDA (~20% discount to vertical peers), we believe that the combination of potential revenue upside as well as ~100bps in annual operating margin expansion offers up a compelling risk/reward for those looking for an ‘under the radar’ vertical SaaS idea."

For an analyst ratings summary and ratings history on CCC Intelligent Solutions Holdings Inc. click here. For more ratings news on CCC Intelligent Solutions Holdings Inc. click here.

Shares of CCC Intelligent Solutions Holdings Inc. closed at $9.92 yesterday.

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