Analyst Ratings February 11, 2026

Evercore Lowers MNTN Price Target to $27 Despite Strong Q4 Results

Analyst trims valuation multiple amid sector-wide multiple compression while keeping an Outperform rating

By Caleb Monroe MNTN
Evercore Lowers MNTN Price Target to $27 Despite Strong Q4 Results
MNTN

Evercore ISI cut its price target for MNTN Inc to $27 from $33 but kept an Outperform rating, citing lower EV/EBITDA multiples across small- and mid-cap internet peers. The adjustment follows a quarter in which MNTN posted accelerating organic revenue growth, expanding adjusted EBITDA margins, and guidance that topped consensus at the midpoint.

Key Points

  • Evercore ISI lowered its price target on MNTN to $27 from $33 but maintained an Outperform rating.
  • MNTN reported a strong fourth quarter with 36% organic revenue growth and adjusted EBITDA margin expanding to 32%; Q4 revenue of $87 million and EBITDA of $28 million beat estimates.
  • The price target cut reflects a reduction in the FY27 exit EV/EBITDA multiple to 15x from 20x, driven by lower multiples among SMID Internet peers; MNTN remains a top pick for Evercore.

Evercore ISI has revised down its one-year price objective for MNTN Inc to $27.00 from $33.00 while maintaining an Outperform recommendation on the stock. The move comes as the shares trade near $10.90, a level well below the company’s 52-week peak of $32.49 and reflecting a roughly 69% drop over the past year.

The firm reduced its target even though MNTN reported what Evercore characterized as a "solid beat-and-raise" quarter. Organic revenue growth accelerated to 36% in the fourth quarter, and adjusted EBITDA margin widened by 3 percentage points year-over-year to 32%. On a trailing twelve-month basis, MNTN recorded revenue growth of 31.28%.

For the fourth quarter, MNTN reported revenue of $87.0 million, beating estimates by 1%, and adjusted EBITDA of $28.0 million, which exceeded expectations by 10%. The company issued fiscal 2026 revenue guidance in a range of $345 million to $355 million, compared with a consensus figure of $345 million.

Evercore said the primary rationale for trimming its target was a change to its assumed FY27 exit EV/EBITDA multiple, lowering it to 15x from 20x previously. The firm tied that adjustment to generally lower multiples across SMID Internet peers, even as it modestly raised its FY26 and FY27 estimates for MNTN.

Despite the lower target multiple, Evercore kept MNTN among its top SMID Internet ideas, ranking it as the firm’s third Top Pick in the group. The analyst noted that the company’s underlying operating metrics remain strong, but that market valuation appears to have grown "largely disconnected from company fundamentals."

Additional reported metrics from MNTN’s fourth quarter include earnings per share of $0.43, well ahead of the $0.24 analysts’ estimate, and quarterly revenue of $87.1 million, a 36% year-over-year increase. Separately, another investment firm, Citizens, reiterated a Market Outperform rating and maintained a $23.00 price target, pointing to MNTN’s favorable positioning in connected television advertising amid the ongoing shift to streaming platforms.

Taken together, the recent analyst moves and company results present a mixed picture: operational momentum underpinned by accelerating revenue growth and margin expansion, set against a market re-rating driven by lower valuation multiples among comparable internet peers.


Sector implications - The developments are most relevant to digital advertising, connected TV advertising, and the broader SMID Internet sector. Valuation shifts among comparable public companies have direct effects on price targets and investor expectations within these segments.

Risks

  • Multiple compression among SMID Internet peers has directly reduced the firm’s valuation assumptions, which can depress price targets and investor returns - this primarily affects internet and digital advertising companies.
  • A significant share-price decline - shares are trading near $10.90 after a roughly 69% fall from the 52-week high - creates market uncertainty around sentiment despite underlying operational strength.
  • The perception that market valuation is "largely disconnected from company fundamentals" introduces uncertainty for investors assessing timing and magnitude of any valuation recovery; this risk touches public equity investors in the SMID Internet and ad-tech sectors.

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