ACVA - ACV Auctions: Eyes On Maiden Quarter Of EBITDA Profitability

2024-05-10 17:15:57 ET

Summary

• ACV Auctions Inc. registered a substantial +23% EBITDA beat for Q1 2024, which also marked its maiden quarter of positive EBITDA.
• The company expects to generate positive EBITDA in Q2 and the full year, as per its guidance, which is based on realistic assumptions in my view.
• My opinion is that there is likely to be a positive re-rating of ACV Auctions' share price and valuations going forward, as the company improves its operating profitability.

Elevator Pitch

I award a Buy investment rating to ACV Auctions Inc. ( ACVA ) shares. Earlier, my February 24, 2024, update reviewed ACV Auctions' performance for the final quarter of the prior year....

For further details see: