UBS analysts have upgraded Amplitude (NASDAQ: AMPL) to 'Buy’ from ‘Neutral’, believing the digital analytics software company stands out with a “compelling setup" due to the potential for an acceleration of its revenue growth to 20% plus in fiscal 2026.
In a note to clients on Friday, the analysts stated their revenue growth projections are backed by factors such as growing multi-product adoption, favorable usage-based pricing dynamics, and emerging AI agent opportunities.
One of the biggest risks to their view on the company is OpenAI’s acquisition of Statsig and the concern that it could evolve into a competitor.
They believe, though, that this risk has already been priced into its stock price, noting that Statsig is weak in analytics, which is Amplitude’s core business.
UBS has a target price of $13 per share on Amplitude stock.
Shares of Amplitude rose 3.7% to $10.12 in midday trading on Friday.