Analyst Ratings February 12, 2026

Benchmark Sticks With Buy on Grab After Q4 Results; $7 Price Target Intact

Analyst house sees earnings release as clearing an overhang and endorses Grab's multi-year profit roadmap despite modest FY26 guidance

By Leila Farooq GRAB
Benchmark Sticks With Buy on Grab After Q4 Results; $7 Price Target Intact
GRAB

Benchmark has reaffirmed its Buy rating and $7.00 price target for Grab Holdings Inc. after the company reported mixed fourth-quarter results and provided guidance for fiscal year 2026. While guidance modestly missed consensus, management presented a three-year plan targeting $1.5 billion in adjusted EBITDA by FY28. Other broker moves included Bernstein trimming its target and BofA upgrading to Buy.

Key Points

  • Benchmark reaffirmed its Buy rating and $7.00 price target on Grab after the company’s fourth quarter results.
  • Management set a three-year plan targeting $1.5 billion in adjusted EBITDA by FY28, implying over 40% CAGR across three years.
  • Other broker moves included Bernstein lowering its price target to $5.80 and BofA upgrading Grab from Neutral to Buy with a $6.30 target.

Benchmark has maintained its Buy recommendation and $7.00 price target on Grab Holdings Inc. (NASDAQ:GRAB) following the company’s fourth quarter disclosure, viewing the release as an "overhang-clearing event" for a stock that had experienced downward pressure ahead of the report.

The Singapore-headquartered super-app posted mixed results for the quarter. Market participants had been focused on two main concerns: Grab’s historically cautious guidance approach, which could leave FY26 expectations vulnerable to disappointment, and speculation about potential cuts to commission caps on two-wheeler ride-hailing services in Indonesia. Although the company’s FY26 guidance landed a touch below consensus, management unveiled a three-year objective aimed at delivering $1.5 billion in adjusted EBITDA by FY28, implying more than a 40% compound annual growth rate over the three-year span.

Benchmark judged the three-year roadmap to be achievable. The firm cited Southeast Asia’s structural under-penetration and Grab’s platform advantages across multiple verticals as reasons to expect sustainable growth. In its note, Benchmark recommended that investors view recent weakness in the stock as an opportunity to accumulate what it described as one of the highest-quality platform assets in the region.

The analyst house also highlighted continued momentum in Grab’s Deliveries and Mobility segments and noted that incentive levels remained stable. These operational signals supported Benchmark’s positive stance on the company’s near- to medium-term trajectory despite the slightly conservative FY26 outlook.


Other broker activity around Grab accompanied the results. Bernstein analyst Venugopal Garre reduced his price target on the company to $5.80 from $6.60, citing anticipated margin pressure arising from Grab’s expansion initiatives. By contrast, BofA Securities moved to upgrade the stock from Neutral to Buy and kept a $6.30 price target, pointing to underlying fundamentals that the firm believes remain intact despite recent underperformance in the share price.

Grab also confirmed changes to its board of directors. Laura Franco was appointed as an independent director, and Ng Shin Ein has retired from the board. The company reported its fourth quarter and full year results for the period ended December 31, 2025, and noted that it achieved its first full-year net profit, although specific financial line items or dollar amounts were not included in the SEC filing.

Taken together, the mix of analyst reactions and the company’s forward plan present a picture of cautious optimism. Benchmark continues to emphasize the company’s ecosystem advantages and long-term growth potential across under-penetrated markets, while other firms focus on margin risks tied to expansion. Investors will likely watch FY26 performance and regulatory developments in key markets such as Indonesia for signs that the company can deliver on its FY28 adjusted EBITDA target.

For now, Benchmark’s reiteration of Buy and its $7.00 price target provide a clear endorsement of Grab’s strategic direction and the earnings trajectory outlined by management, even as analysts and investors digest modest near-term guidance and differing broker assessments.

Risks

  • FY26 guidance came in slightly below consensus, introducing near-term execution risk for revenue and profit expectations - impacts technology and consumer services sectors.
  • Regulatory speculation about potential cuts to Indonesia’s two-wheeler ride-hailing commission caps could affect mobility margins and unit economics - impacts transportation and mobility platforms.
  • Expansion-related margin pressure highlighted by Bernstein could weigh on profitability if costs outpace revenue growth - impacts platform economics and investor returns.

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