Indie Semiconductors (NASDAQ:INDI) has been trading sideways since the completion of its proposed merger with SPAC company Thunder Bridge Acquisition II (NASDAQ:THBR). Investors initially rallied behind the SPAC pairing, with the stock reaching heights of $14.94 pre-merger. However, with the SPAC market losing momentum INDI stock has continued to trade below its PIPE offering price.
Nevertheless, the stock has received bullish valuations from Wallstreet with an average price target of $17.25, highlighting an upside of 90.1%. Interestingly, larger financial institutions such as Deutsche Bank and B. Riley also maintain a bullish valuation with an upside exceeding the companies competition. With plenty of interest from Wallstreet, here’s what investors need to know about indie Semiconductor stock.
B.Riley analyst sees 100% upside in INDI stock
Earlier today, B. Riley analyst Craig Ellis initiated coverage on Indie Semiconductor with a $18 price target. The valuation from B. Riley is the second highest on Wallstreet. The analyst noted Indie “offers one of the sector’s most vibrant” sales growth and gross margin expansion outlooks according to theFly. The analyst added that Indie’s expansion outlook is assisted by the $495 Million cash injection raised from the SPAC merger. Ellis reaffirmed that the company has established a “strong foundation” with $2.5 Billion in strategic backlog across 30 blue chip customers.
Benchmark analyst sets INDI stock target to $17
Earlier this month, Benchmark analyst David Williams initiated coverage on Indie Semiconductor with a $17 price target. The analyst noted the company reported strong Q1 top-line growth. Williams also noted that indie management has re-focused efforts to scale the business to capture market share. The target suggests an upside of 87% from the current trading price.
Deutsche Bank sees significant traction in customers
In July, Deutsche Bank analyst Ross Seymore initiated coverage on Indie Semiconductor with a $14 price target. Seymore notes the company offers “compelling growth potential” in the AutoTech market. The analyst added Indie’s strategic focus on the automotive market has resulted in significant traction in customers.
The German Banks target suggests a 54% upside from the current trading price and remains the lowest target on Wallstreet.
What is the revenue outlook for Indie Semiconductor
Looking long term, by 2025 the company expects to generate $501 million in annual revenue. Future partnerships within the companies pipeline are the forecasted catalyst in the projected growth.
It is worth noting the 4 year outlook is only based the companies projected outlook and its current backlog. Therefore, we may see changes to revenue guidance in the future. However, at this stage we can see from the strong revenue numbers that the company has a strong backlog which is a positive sign for investors. See the full Indie Semiconductor stock forecast here.
The Bottom Line – Wallstreet remains bullish on Indie semiconductor stock
Since the companies SPAC merger with Thunder Bridge Acquisition II (NASDAQ:THBR), the companies valuation from a smart money consensus has remained overwhelmingly bullish. With an average price target suggesting a 90% upside from the current trading price, we can expect investors to follow suite.
However, with the lack of optimism in the SPAC market we can also expect similar levels of volatility. See our Indie stock forecast below.
The information above is not financial advice. Youth Investment Group has no liability for personal financial interests or investment decisions. You should make your own investment decisions based upon your own research and what you believe is best for you.
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