Yext: Testing Investors' Patience As Churn Persists (Downgrade)
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Gary Alexander32.84K FollowersFollow5ShareSavePlay(10min)CommentsSummaryYext is downgraded to "Neutral" as its risk/reward profile has become balanced after a recent rally.YEXT's share price is up ~30% YTD, primarily due to CEO Michael Walrath's $9/share take-private offer.Lack of updates on the acquisition and cessation of earnings calls have increased investor uncertainty.With many SMID-cap software peers now deeply discounted, YEXT's value proposition is less compelling. JHVEPhoto/iStock Editorial via Getty Images It's a challenging time to be a tech investor in today's market, as we're caught between two extremes. On the large-cap end of the market, valuations have become prohibitively expensive, and there are signs recently that the AI trade may not hold up inThis article was written byGary Alexander32.84K FollowersFollowWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on Seeking Alpha since 2017. He has been quoted in many web publications and his articles are syndicated to company pages in popular trading apps like Robinhood.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.