Raspberry Pi (LON:RPI) Trading Up 19.6% – Should You Buy?

Shares of Raspberry Pi Holdings (LON:RPI) shot up 19.6% on Thursday . The company traded as high as GBX 779 and last traded at GBX 755. 65,796,594 shares traded hands during trading, an increase of 2,608% from the average daily volume of 2,429,408 shares. The stock had previously closed at GBX 631.50.

Raspberry Pi News Summary

Here are the key news stories impacting Raspberry Pi this week:

• Positive Sentiment: Record first-half performance: Revenue rose 90% to $256.9 million, with shipments reaching 4.2 million units. Profit also increased sharply, supported by strong volume growth and demand from industrial customers. Raspberry Pi H1 Revenue Rises 90% to $256.9 Million as Shipments Reach 4.2 Million Units UK’s Raspberry Pi posts record first half on strong industrial demand
• Positive Sentiment: Raised outlook: Management expects full-year EBITDA to exceed current market expectations, giving investors greater confidence in earnings momentum and supporting the stock’s advance. Raspberry Pi H1 Profit Surges on Volume Growth
• Positive Sentiment: Broker upgrade: Jefferies raised its forecasts and issued a “buy” rating, reinforcing the bullish interpretation of the results and potentially attracting additional institutional interest. Raspberry Pi rises as Jefferies lifts forecasts with buy rating
• Neutral Sentiment: Inventory helped results: Strategic inventory availability supported the first-half revenue surge, suggesting the company was able to meet demand more effectively. Investors may watch whether this pace can continue through the rest of the year. Raspberry Pi posts record H1 as demand and strategic inventory drive surge
• Negative Sentiment: Potentially temporary profit benefit: Lower memory costs helped profits triple, but the related windfall is expected to fade, creating a risk that future margin growth will be less dramatic. Raspberry Pi Shares Surge as Profit Triples on Cheap Memory, but Windfall Fades

Analysts Set New Price Targets

Several research analysts have recently issued reports on the stock. Jefferies Financial Group upped their target price on shares of Raspberry Pi from GBX 420 to GBX 960 and gave the company a “buy” rating in a report on Thursday, June 25th. Berenberg Bank reissued a “hold” rating and issued a GBX 670 price target on shares of Raspberry Pi in a research report on Wednesday, August 12th. Finally, Deutsche Bank Aktiengesellschaft upped their price objective on shares of Raspberry Pi from GBX 550 to GBX 650 and gave the company a “hold” rating in a research note on Tuesday, June 16th. One equities research analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, Raspberry Pi currently has an average rating of “Hold” and a consensus price target of GBX 760.

Raspberry Pi Stock Performance

The company has a market capitalization of £1.46 billion, a PE ratio of 68.64 and a beta of 0.45. The company’s 50-day simple moving average is GBX 624.47 and its 200-day simple moving average is GBX 639.58.

Raspberry Pi Company Profile

Our mission is to put high-performance, low-cost, general-purpose computing platforms in the hands of engineers and enthusiasts all over the world.

Since 2012, we’ve been designing single-board and modular computers, built on the Arm architecture, and running the Linux operating system. Whether you’re an educator looking to excite the next generation of computer scientists; an enthusiast searching for inspiration for your next project; or an OEM who needs a proven rock-solid foundation for your next generation of smart products, there’s a Raspberry Pi computer for you.

That’s not all we do.