Lightspeed Stock Surges 35% in One Month: Guidance for Investors - Kalkine Media

November 30, 2023 01:19 PM EST | By Team Kalkine Media
Follow us on Google News:

Several stocks are undergoing a notable recovery on the TSX, and one company making significant strides is Lightspeed. With positive signals from central banks about potential halts in interest rate hikes, the market is displaying signs of a bull market. Lightspeed, which encountered challenges amid the tech sector's decline, is undergoing a robust recovery, surging 35% in just one month. This resurgence underscores the broader dynamics within TSX tech stocks, reflecting the resilience and potential for growth in the technology sector amid changing market conditions.

The recent statement from the Federal Reserve, indicating a reluctance for further interest rate hikes, adds to the positive sentiment, contributing to the growing interest in growth stocks like TSX LSPD. Despite facing headwinds, the company has showcased resilience and made strategic moves that contributed to its profitability, as highlighted in the latest earnings report.

Key Highlights from the Earnings Report:

  • Lightspeed posted positive adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA).
  • Total revenue increased by 25% year-over-year, reaching $230.3 million.
  • The company achieved positive adjusted EBITDA, marking a significant milestone.
  • Gross payments volume experienced a substantial 59% increase year-over-year, reaching $5.9 billion.
  • The strong quarterly performance prompted Lightspeed to raise its 2024 outlook.

2024 Fiscal Goals and Future Outlook:

  • Lightspeed expects revenue between $232 million and $237 million for the third quarter of 2024, with adjusted EBITDA reaching $2 million.
  • The company anticipates 2024 revenue to be in the range of $890 million to $905 million, with a focus on achieving even more profitability.
  • The CEO, Jean-Paul Chauvet, expressed a belief that the company is "greatly undervalued" in terms of share price.

Strategic Initiatives for Future Growth:

  • Lightspeed's strategic focus includes expanding Lightspeed Payments, with a goal of up to 50% merchant adoption by the end of the year.
  • The company aims to tap into the credit market as part of its future growth initiatives.
  • Despite the recent surge in share price, Lightspeed sees significant growth opportunities by targeting the large market of retailers and restaurateurs still using legacy systems.
  • Lightspeed's CEO emphasizes the potential for growth as the majority of the market operates on legacy systems and has not transitioned to the cloud or adopted credit solutions.

In conclusion, Lightspeed's strategic moves, positive earnings results, and future growth initiatives have positioned the company for a strong recovery. With shares still at a fraction of their previous value, Lightspeed stock appears to be gaining momentum and warrants attention from investors, especially considering its 35% surge in just one month.


The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Incorporated (Kalkine Media), Business Number: 720744275BC0001 and is available for personal and non-commercial use only. The advice given by Kalkine Media through its Content is general information only and it does not take into account the user’s personal investment objectives, financial situation and specific needs. Users should make their own enquiries about any investment and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media is not registered as an investment adviser in Canada under either the provincial or territorial Securities Acts. Some of the Content on this website may be sponsored/non-sponsored, as applicable, however, on the date of publication of any such Content, none of the employees and/or associates of Kalkine Media hold positions in any of the stocks covered by Kalkine Media through its Content. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used in the Content are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used in the Content unless stated otherwise. The images/music that may be used in the Content are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Top TSX Listed Companies

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK