Samsara (IOT) had a strong start to the fiscal year with a 37% increase in annual recurring revenue growth, showing minimal slowdown from a strong Q4, RBC Capital Markets said in a note.
"We liked the ongoing large customer momentum, increasing multiple-product adoption and continued traction in emerging product," RBC analysts, including Matthew Hedberg, said. "We remain impressed with the consistency of execution and while FY/25 guidance moved slightly higher, it remains adequately de-risked in the company's view."
They said customers continued to adopt Samsara solutions to improve operations and realize rapid return on investment.
"We liked the ongoing large customer momentum, increasing multiple-product adoption and continued traction in emerging products, which remains early and with low penetration across the base," the analysts said.
RBC has an outperform rating on Samsara with a price target of $47.
Price: 30.50, Change: -0.05, Percent Change: -0.16
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