UPDATE: Citi Starts Grid Dynamics Holdings (GDYN) at Buy

Citi analyst Ryan Potter initiates coverage on Grid Dynamics Holdings (NASDAQ: GDYN) with a Buy rating and a price target of $35.00.

The analyst comments "The company is fully exposed to the positive and accelerating digital transformation trend with proven technology expertise and high quality engineering talent, supporting attractive 20%+ revenue growth for multiple years. Grid Dynamics was harder hit by the pandemic than others given its prior retail exposure but it has shown good agility to quickly retool and pivot resources and is now a more diversified entity appreciated by investors (stock is up 120%+ YTD). We believe the company deserves a slight premium multiple relative to its comps given its faster growth and to normalize for a relatively higher tax rate (the higher valuation is further palatable when considering our belief that there is reasonable potential organic upside to our estimates). The largest risk to consider is client concentration. We view the risk/reward as attractive."

For an analyst ratings summary and ratings history on Grid Dynamics Holdings click here. For more ratings news on Grid Dynamics Holdings click here.

Shares of Grid Dynamics Holdings closed at $28.75 yesterday.

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