From the MF
March 11, 2021 3:30pmNearmap Ltd (ASX: NEA)
Nearmap is an aerial imagery technology and location data company with operations in both the ANZ and North American markets. It provides businesses with instant access to high resolution aerial imagery, city-scale 3D datasets, and integrated geospatial tools.
Although it was targeted by a short seller earlier this year, the market doesn’t appear concerned by this report following a stronger than expected half year update in February. Not only did Nearmap outperform expectations, the part of the business that was heavily criticised by the short seller did the heavy lifting.
This went down well with analysts at Goldman Sachs. In response to its results, it put a buy rating and $2.95 price target on Nearmap’s shares.
It believes the headwinds Nearmap has been facing will ease in 2021, which should have a positive impact on demand. Looking further ahead, the broker believes the company’s balance sheet is strong enough to see it through to profitability in FY 2023.
