Analyst Hail Ncino's Q2 Beat, See Up To 54% Upside

Ncino Inc's NCNO Q2 revenue of $66.5 million grew 36% year-on-year and beat the analyst consensus of $63.7 million. Adjusted EPS loss of $(0.02) beat the consensus loss of $(0.06).
The cloud-based software provider's Q3 revenue guidance of $66 million - $67 million is above the consensus of $65 million. The adjusted EPS loss guidance of $(0.07) - $(0.06) compares to consensus loss of $(0.06).
Piper Sandler analyst Brent Bracelin raised the price target to $97 from $95, implying a 53.8% upside, and reiterated an Overweight.
Bracelin hailed its journey "from humble roots helping a community bank as its first customer embrace cloud nearly a decade ago" and landing a transformational Bank OS deal with Wells Fargo.
Barclays analyst Saket Kalia raised the PT to $78 from $75, signifying a 23.7% upside, and maintained an Equal Weight.
The RPO growth accelerated from wins in an enterprise, and the implied Q4 subscription guide shows about a point of acceleration to 27% year-over-year growth, which sets up well into FY23, Kalia notes.
Needham analyst Mayank Tandon affirmed a Buy and raised the PT from $80 to $85, indicating a 34.8% upside.
Price Action: NCNO shares traded higher by 15.9% at $73.09 in the market session on the last check Thursday.

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