Buy this family safety stock that has new products, features to draw customers
Life360 shares could rise as it rolls out new products and features to widen its user base of paid subscribers, according to Bank of America. The bank initiated research coverage of the location-sharing, family safety app with a buy rating, and a 12-month price target of $60 price target, implying 32% upside from Tuesday’s close. “Life360’s leadership in the fast-growing family safety category, combined with a large and underpenetrated global opportunity, provides a long runway for sustained user growth,” analyst Nitin Bansal wrote Tuesday in a note to clients. Life360 could surprise investors with a 20% increase in monthly active user growth by the end of 2026, according to the analyst. In the next year or so, the company is expected to debut Uber Integration with Uber Technologies and Elderly Tracker, two initiatives that could further drive user growth, Bank of America said. “We see strong monetization and upsell potential driven by … an expanding platform value proposition that could drive upside in paying users,” Bansal wrote. Life360 is also likely to see stronger-than-expected traction in its Pet Tracker platform, which could accelerate conversions to paid plans, according to the analyst. Bank of America is expecting Life360 to gain 31% in revenue and 47% in compound annual EBITDA growth between 2025 and 2027, faster than the consensus estimates on Wall Street, the report said. The Bank of America recommendation matches other analysts’ views. Of the nine who cover Life360, six give the stock a buy or strong buy rating. Shares in Life 360, which came public in June 2024, have plunged 47% in the past six months.
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