WM Technology (MAPS) Stock Forecast & Price Target

WM Technology Inc. has demonstrated substantial growth in its client base, increasing from 4,937 clients in the previous year to 5,179 clients, highlighting the company's expanding market presence within the cannabis industry. In addition, financial estimates for FY25 have been raised to $180.61 million in revenue and an expected earnings per share of $0.18, an improvement from prior estimates of $178 million and $0.08, respectively. Furthermore, projections for FY26 have also been adjusted upwards to $211 million in revenue and $0.19 earnings per share, indicating a positive trajectory for future financial performance.

WM Technology Inc has reported a year-over-year decrease in Average Revenue Per User (ARPU), falling to $2,871 per month from $2,997, indicating potential challenges in maintaining revenue levels despite a growing customer base. This decline in ARPU can be attributed to the natural spending patterns of new customers who generally start with lower expenditure on the Weedmaps platform. Additionally, competitive pressures from market leaders entering the cannabis sector, coupled with shifts in customer acquisition strategies among major cannabis retailers, pose significant risks to the long-term viability and growth prospects of Weedmaps’ offerings.