Canaccord Genuity has lowered its price target on Commerce.com (NASDAQ:CMRC) to $6.00 from $11.00, but the research house has retained a Buy rating on the shares.
In its note, Canaccord acknowledged a tension between the company’s fundamentals and its market valuation. The firm said that, from a pure fundamental standpoint, Commerce.com’s growth profile would more appropriately support a Hold rating, given that its expansion does not appear robust enough to attract new investors in a market where much of the software sector trades at discounts.
Despite that view on growth, Canaccord justified keeping the Buy stance by pointing to Commerce.com’s valuation metrics. The firm characterized the stock as "SO cheap," highlighting a 0.7x EV/R multiple and roughly 6x EV/FCF. Canaccord cautioned, however, that the situation "won’t be a quick fix" and that the next quarter’s results are not expected to show improvement.
Canaccord also noted a conditional path forward: if Commerce.com can demonstrate measurable progress on specific operational metrics, the company could unlock value either as a standalone business or via an acquisition, according to the firm.
On the strategic front, Commerce.com has broadened its partnership with Stripe to give BigCommerce merchants worldwide access to Stripe’s Optimized Checkout Suite. The enhanced integration introduces dynamic local and alternative payment methods - including Buy Now, Pay Later and regional payment options - and incorporates Stripe’s AI-driven fraud prevention tools.
In addition, BigCommerce has connected with Stripe’s Agentic Commerce Suite. That integration allows merchants to link their product catalogs to AI shopping agents, making items discoverable and purchasable through those agents with a single integration.
Meanwhile, Morgan Stanley has taken a more negative view. The firm downgraded Commerce.com from Equalweight to Underweight and trimmed its price target to $4.00 from $6.50. Morgan Stanley cited continuing execution issues and described Commerce’s collection of assets as lacking the cohesion of an integrated platform, a structural shortcoming as the industry increasingly favors unified commerce solutions. The firm framed these concerns as strategic and operational challenges that weigh on the company’s outlook.
Taken together, the analyst actions and the Stripe partnership expansion underscore both the valuation debate surrounding Commerce.com and the company’s current strategic trajectory. Analysts at Canaccord see cheap multiples as a reason to retain a positive rating while acknowledging limited near-term improvement, whereas Morgan Stanley views execution and platform integration as key impediments to the company’s competitive position.