Upwork's Investor Event Shows Confidence in Return to Growth, RBC Says

MT Newswires Live11-20

Upwork's (UPWK) investor day focused on factors like the unique total addressable market of fractionalized work, artificial intelligence as a driver, as well as financial goals including guidance for 2026 indicating a return to gross services volume and revenue growth, RBC Capital Markets said in a note emailed Wednesday.

For 2026, Upwork released guidance for a minimum of 25% EBITDA margin, and a 6% to 8% revenue growth rate target, among others, RBC said.

For 2028, the company disclosed three-year targets like a 13% to 15% revenue compound annual growth rate, among others, the note said.

The investment firm said it is "generally constructive" on Upwork's improving trajectory backed by its products and more tailwinds from AI projects.

RBC has a sector perform rating on Upwork with a $21 price target.

"We need more confidence in the durable return to meaningful GSV growth in particular to get more constructive with our rating," the investment firm said.

Price: 17.95, Change: +0.87, Percent Change: +5.09

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