Texas Capital has initiated coverage on RumbleON (RMBL, Financial) by assigning a Buy rating and setting a target price of $3.50. This move comes as part of the firm's broader analysis of the powersports industry, in which they have begun covering five companies. The firm highlights the potential resilience in specific areas of the sector, notably in motorcycles and utility vehicles.
The analyst at Texas Capital predicts that a significant reduction in inventories, alongside a shift back towards a revenue mix favoring pre-owned vehicles, could enhance RumbleON's profitability. Additionally, the company's planned refinancing of its debt later this year is anticipated to act as a positive catalyst for its financial performance.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 3 analysts, the average target price for RumbleON Inc (RMBL, Financial) is $4.00 with a high estimate of $5.00 and a low estimate of $3.00. The average target implies an upside of 60.00% from the current price of $2.50. More detailed estimate data can be found on the RumbleON Inc (RMBL) Forecast page.
Based on the consensus recommendation from 3 brokerage firms, RumbleON Inc's (RMBL, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for RumbleON Inc (RMBL, Financial) in one year is $3.27, suggesting a upside of 30.8% from the current price of $2.5. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the RumbleON Inc (RMBL) Summary page.
