
8x8 (EGHT) Stock Forecast & Price Target
8x8 (EGHT) Analyst Ratings
Bulls say
8x8 Inc has demonstrated a solid core growth trajectory, achieving nearly 6% year-over-year service revenue growth, marking the fourth consecutive quarter of accelerating performance, excluding Fuze-related revenue. The company's strategic shift towards usage-based offerings has yielded significant results, with such revenues increasing from 13% to nearly 20% of total service revenue, driven by advancements in CPaaS APIs and AI-powered solutions, alongside a strengthened international presence. Additionally, the improved financial health and rapid deleveraging allow management to engage in share buybacks and pursue accretive M&A opportunities, all while continuing to invest in R&D and expanding into high-value verticals, reinforcing the company's long-term growth outlook.
Bears say
8x8 Inc has experienced a significant reduction in debt, down 40% from $550 million to $329 million, which reflects sustained cash flow; however, this positive trend is overshadowed by impending pricing pressures and challenges in acquiring new customers for its unified communications and contact center services. The company is anticipating a decrease in its gross margin estimate for FY27 from 67.1% to 66.0%, largely due to the impact of lower-margin usage-based services, which could further strain profitability. Additionally, revenue projections for FY27 have been lowered from $730 million to $725 million, indicating a cautious outlook regarding the near-term growth trajectory amidst these challenges.
This aggregate rating is based on analysts' research of 8x8 and is not a guaranteed prediction by Public.com or investment advice.
8x8 (EGHT) Analyst Forecast & Price Prediction
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