SYM - Symbotic: Warehouse As A Service
2024-02-17 03:59:19 ET
Summary
- 98 percent year-over-year revenue growth with a backlog exceeding $23B.
- Revenue will grow by more than $230,000 per site. Given the projected increases, the current share price is undervalued.
- Symbotic's leading customers consist of Walmart, Target, Albertsons, C&S Wholesale Grocers, and more.
Thesis
Symbotic (SYM) produced a 98 percent year-over-year revenue growth, has a backlog exceeding $23B, and the recent GreenBox Joint Venture adds tons of hidden value and potential future revenue. Symbotic's goal is to expand and grow into a $500B addressable market opportunity. I am rating Symbotic as a buy with a 2025 price target of $60.00 per share. Artificial Intelligence has been the hottest sector, and this company is often overlooked in terms of an AI play. Additionally, for Q2 2024, Symbotic expects revenue of $400M to $420M. Analysts are expecting 2025 revenue to come in at $2.48B, but I believe it will be on the higher end, closer to $2.6B. Symbotic's leading customers consist of Walmart (WMT), Target (TGT), Albertsons (ACI), C&S Wholesale Grocers, and more. With little competition, the age of artificial intelligence, and space due for disruption, Symbotic offers more upside from the current share price....
Symbotic: Warehouse As A Service