
Upwork Inc (UPWK) Stock Forecast & Price Target
Upwork Inc (UPWK) Analyst Ratings
Bulls say
Upwork Inc has demonstrated strong growth in its small and medium-sized business (SMB) segment, with Business Plus clients increasing by 36% quarter-over-quarter and gross service volume (GSV) rising by 33% quarter-over-quarter, reinforcing the effectiveness of its upmarket strategy. The company's marketplace revenue increased by 4% year-over-year, surpassing expectations, while the take rate improved by 60 basis points to 18.9%, reflecting strong performance in dynamic pricing and enhanced service offerings. Additionally, the integration of its new enterprise arm, Lifted, along with significant growth in AI-generated services, has contributed to the overall positive financial outlook, as evidenced by a 53% year-over-year increase in AI GSV and a steady GSV per active client of $5,036.
Bears say
Upwork Inc. has reported a decline in active clients by 7%, alongside a mere 2% year-over-year growth in Gross Services Volume (GSV), indicating weak demand and volume growth. The company's decision to invest less in customer acquisition in light of slower growth could lead to faster margin realization but ultimately limits revenue upside, particularly given the slowdown in new business formations and ongoing macroeconomic headwinds. Furthermore, the potential delays in revenue contributions due to lengthy contracting cycles may hinder the company's near-term financial performance, reinforcing concerns about its stock outlook.
This aggregate rating is based on analysts' research of Upwork Inc and is not a guaranteed prediction by Public.com or investment advice.
Upwork Inc (UPWK) Analyst Forecast & Price Prediction
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