HashiCorp stock pops as BTIG starts at Buy, sees over 20% upside potential

By Senad Karaahmetovic

Shares of HashiCorp (NASDAQ:) are up over 2% in pre-market Thursday after BTIG analysts initiated research coverage with a Buy rating and a $37 per share price target.

They argue that HCP is “well positioned as the near dominant player in the rapidly growing infrastructure as code (IaC) market.”

“As a foundational layer to the deployment of cloud infrastructure and development of new applications, we think HCP has a strong opportunity to expand into tangential markets – most notably security and also networking,” analysts wrote in an initiation note.

The analysts also believe that the company’s management is able to “meet or exceed” analysts’ estimates in the mid-term. All-in-all, Powell sees a “compelling risk reward.”

“While there is heightened risk across all of software this year due to a weak economic environment, we feel confident in forecast for HCP,” analysts added.

HCP shares are up 3% year-to-date (YTD).