DA Davidson raises Domo price target to $15 from $9, maintains Neutral.

DA Davidson raises Domo price target to $15 from $9, maintains Neutral.

DA Davidson analyst Lucky Schreiner has raised Domo's (DOMO) price target from $9 to $15, while maintaining a Neutral rating. This upgrade is attributed to the company's robust Q2 results, driven by partner-led pipeline growth. Schreiner's cautious optimism stems from Domo's Q2 2026 results, which showed a 19% increase in subscription Remaining Performance Obligations (RPO) to $409.8 million, and a first positive non-GAAP EPS of $0.02. The shift to a consumption model boosted Net Revenue Retention (NRR) for contract customers by 108%, and secured long-term partnerships such as a 3-year CDW joint solution [1]. Domo's strategic collaborations with Snowflake and AI tools like Agent Catalyst have further strengthened its position in the $30B AI analytics market, projected to grow at a 25% CAGR [2].

Despite these positive developments, Schreiner's Hold rating reflects a cautious approach. The analyst acknowledges Domo's progress but remains mindful of the challenges ahead. The raised revenue guidance for FY26 indicates slight growth, but not enough to warrant a more aggressive rating. The valuation of Domo’s shares at approximately 2x CY26E revenue aligns with its growth peers, supporting the Hold recommendation [1].

According to TipRanks, Schreiner is an analyst with an average return of -14.4% and a 13.33% success rate. Schreiner covers the Technology sector, focusing on stocks such as C3ai, Progress Software, and Box [1]. In another report released yesterday, TR | OpenAI – 4o reiterated a Hold rating on the stock with a $16.50 price target [1].

References:
[1] https://www.tipranks.com/news/ratings/cautious-optimism-hold-rating-for-domo-amid-positive-trends-and-growth-challenges-ratings
[2] https://www.ainvest.com/news/domo-strategic-transformation-high-conviction-buy-ai-driven-data-analytics-2508/