Jumia Technologies AG is trading at $7.21 (5.1% up) in pre-market following a significant analyst upgrade that is providing a strong catalyst for the shares.
- Aletheia Capital upgraded the stock to Buy from Sell and set a price target of $7.50.
- The firm stated that Jumia's valuation largely reflects liquidity concerns, despite improving fundamentals and a credible path to profitability.
- According to the analyst note, the market is underappreciating the company's long-term growth potential as Africa's leading e-commerce platform.