eToro Stock: A Smart Buy After Recent Dip?

eToro, a popular platform for trading stocks and crypto, has caught the attention of Deutsche Bank. After a strong third-quarter performance, analyst Brian Bedell has upgraded eToro's stock from "hold" to "buy. " He also raised the target price slightly, from $44 to $45. Since its debut on the Nasdaq in May, eToro's shares have dropped by 27%. However, Bedell believes this dip presents a good opportunity for investors. The company's recent earnings report exceeded expectations. It also showed impressive numbers in net contribution and adjusted EBITDA. Bedell points out that eToro's solid fundamentals, combined with its recent decline, make it an attractive investment. He thinks the stock could rally by 19% from Monday's close. Despite some volatility due to ongoing growth initiatives, Bedell is optimistic. He believes eToro's forecasts might even be conservative. The company's expansion in the U. S. and other growth efforts could lead to even better results. Bedell also predicts double-digit account growth and increased trading revenue. He notes strength in non-trading areas like subscription revenue, money transfers, and net interest income. eToro has recently launched copy trading in the U. S. This feature allows users to automatically copy the trades of successful investors. While eToro is already well-established in Europe, Bedell praises its efforts to expand into the U. S. and Asia. These initiatives could drive further growth and success for the company.