Bill.com Downgraded Despite Long-Term Optimism in SMB Software Growth

Bill.com Holdings, Inc. (NYSE:BILL) ranks among the 30 stocks expected to beat the market by 20 percentage points this year. Bill.com Holdings, Inc. (NYSE:BILL) was lowered from an Overweight to Equalweight by Morgan Stanley analysts on June 11. The firm also lowered the company’s price target from $60 to $55.

Bill.com Downgraded Despite Long-Term Optimism in SMB Software Growth

The analysts referenced a reexamination of their earlier thesis, which centered on stronger monetization strategies, an undemanding valuation, and improving expenditure trends for small and medium-sized businesses (SMBs). They observed a short-term decline in optimism regarding each of these elements.

That said, analysts at Morgan Stanley indicated that Bill.com Holdings, Inc. (NYSE:BILL) had an optimistic future despite the downgrade. They believe the company’s software platform, which is underappreciated by investors, can grow and generate greater revenue.

Bill.com Holdings, Inc. (NYSE:BILL) is a financial operations platform that caters to small and midsize businesses (SMBs). The company enables SMBs manage their accounts by offering a suite of software products, including BILL Platform, Divvy, Invoice2go, and BILL Pay.

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Read More: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds

Disclosure: None.