Life360 Inc (LIF) Stock Forecast & Price Target

Life360 is supported by strong underlying demand, as 2Q revenue of $159.0M grew 37.8% Y/Y and came in ahead of consensus, while adjusted EBITDA of $31.1M also exceeded expectations and reflected expanding profitability from subscriptions and advertising. The business still has meaningful operating momentum because MAUs reached 102.4M and management reiterated 17%-20% Y/Y MAU growth, signaling confidence that the company can reaccelerate to the required 3Q and 4Q user additions after 1H technical issues. Fundamentals also look constructive for FY’26, with consolidated revenue guided to $650M-$685M, subscription revenue raised to $475M-$480M on price increases for new Silver and Gold users, and adjusted EBITDA expected at $130M-$140M, implying 19.1%-21.9% margins.

Life360 is facing a weakening fundamental setup because MAU growth appears to be slowing toward the low end of the 17% to 20% guide, with 3Q data tracking about 1% below consensus and 2Q’26 MAUs of 102.4M showing only mid-teens growth. The business also faces margin and monetization risk, as average revenue per paying circle rose just 5.3% Y/Y versus 6.6% expected while adjusted EBITDA estimates were lowered due to inflated advertising costs from the Nativo integration. Competitive and strategic risks remain elevated because Apple and Google could deepen their offerings, US saturation is emerging, international products are less compelling, and negative sentiment around selling consumer data could pressure MAUs and valuation.