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Stock impact report

Grab Holdings Limited (GRAB) Builds Momentum Through Diversification and Innovation [Yahoo! Finance]

Grab Holdings Limited (GRAB) 
Company Research Source: Yahoo! Finance
Limited (NASDAQ:GRAB) to a Buy from a Neutral and reiterated a $6.30 price target. The upgrade comes on the heels of the stock underperforming, as it has slumped 32% since September. Amid the underperformance, BofA Securities insists the company's fundamentals in core mobility and deliveries remain strong. In addition, the company is facing minimal competition, backed by stable and improving margins that justify the upgrade. Consequently, the research firm expects Grab Holdings gross merchandise value to grow at a compound annual growth rate of 17% between 2024 and 2027. Additionally, the firm expects the company's adjusted EBITDA margin as a percentage of GMV to improve to 5.5% by 2027 from 3.6% as of 2024. The $5 billion net cash position is also seen as a positive, helping limit downside risk amid expected strong performance in GrabMart or quick commerce operations. Meanwhile, on January 6, Grab announced it would strengthen its first- and last-mile delivery capabilities thro Show less Read more
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