Everbridge Is A Lifesaver, Literally

Credit Suisse sees more than 30 percent upside potential in Everbridge, Inc. (NASDAQ: EVBG) shares, citing its leadership position in the comprehensive enterprise communication software platform. The firm initiated the stock with an Outperform rating and a price target of $21.

Analysts Michael Nemeroff and Kyle Chen believe Everbridge's platform helps different sectors to save lives and protect business processes in respect of public safety and critical business events.

The company's strength lays in its expansive apps portfolio, superior retention rates and attractive economics of customer acquisition. The analysts expect these to fuel more than 25 percent revenue and billings growth with leverage for higher margin in the next three-year period.

Related Link: Tailwinds For Market-Leader Everbridge Could Sustain 25% Growth

In a research note, the brokerage said, "EVBG's deep domain expertise and strong technology underpinnings enable it to develop and launch new applications for new markets/use-cases, which could produce incremental rev opportunities and expand its already large TAM."

Credit Suisse pointed out that the enterprise critical communication software market is estimated to more than double to $31.9 billion by the year 2020 from the current estimation of $15.6 billion. The firm thinks Everbridge is well-placed to capitalize on this growing market to add market share and expects opportunity of generating $1 billion revenue in the near term subject to its success on its non-mass notification products.

The brokerage expects Everbridge to record rapid revenue growth compared to its peers and sees free cash flow generation, though modestly, in the near term.

At time of writing, Everbridge was up 1.4 percent at $15.98.

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