Proactive Investors - Adyen NV (LON:0YP5) was scorned as overpriced and overstaffed following a shocker of a performance in the first half of 2023, but the Dutch e-commerce company picked up a cheerleader this week with Barclays (LON:BARC) giving the group an overweight share rating.
According to analysts at Barclays the acceleration of Adyen’s Platforms segment is “becoming increasingly supportive”, as it diversifies away from cornerstone client eBay (NASDAQ:EBAY).
Adyen has 17 new clients processing over €1 billion in transactions, with two-thirds of total volumes coming from non-eBay clients in the last reporting period.
“The customer momentum is encouraging, with evidence of competitive wins versus category-leader Stripe,” said Barclays.
“Adyen's established in-store offering is truly differentiated in this space, and within Platforms is nearly trebling. Overall, with recent impressive wins such as Shopify and Olo yet to ramp, we expect Adyen to see an increasing contribution to growth from this division.”
Barclays does see challenges in Adyen’s Digital segment, but all in all, the bank is “keeping the faith” by increasing its price target to €1,300.
At the time of writing, Adyen shares were swapping for €1,114, having yet to recover from the sharp post-interim downturn last August.