Ibotta Inc（IBTA.US）2Q24 EPS Recap~Clean up on aisle two

Investment Rating - The report assigns a "Buy" rating for Ibotta Inc with a 12-month price target of US$90, down from a previous target of US$129 [1]. Core Insights - The partnership with Instacart is expected to provide approximately 6% upside to FY25 revenue estimates, potentially catalyzing additional third-party partnerships [1]. - Despite a reduction in FY24 revenue and EBITDA estimates by 3% and 1% respectively, FY25 estimates remain unchanged [1]. - The report highlights that the third-party redemption business is still in its early stages, indicating potential for future growth [1]. Summary by Sections Investment Rating - 12-month rating: Buy [1] - Price target: US$90 (previously US$129) [1] Financial Estimates - FY24 revenue and EBITDA estimates trimmed by 3% and 1% respectively, while FY25 estimates remain unchanged [1]. - Price on August 14, 2024: US$47.83 [1]. Market Position and Growth Potential - Instacart holds an 18% market share in e-commerce grocery, with limited overlap with existing partners [1]. - The report notes a significant year-over-year growth in merchandise, which is expected to drive revenue per redemption [1]. - The second quarter saw a net addition of 1.3 million third-party redeemers, exceeding expectations [1]. Valuation - The price target reflects an 18x FY25 EBITDA multiple, reduced from a previous 27x due to increased volatility in results [4]. - The current enterprise value is estimated at US$2,126 million, with a market cap of US$2,206 million [6]. Performance Indicators - Total revenue for FY24 is projected at US$375 million, with a growth rate of 25% expected for FY25 [1]. - The report indicates a gross margin improvement, with expectations of reaching 36% by FY25 [6].