Maxim analyst Tom Forte initiated coverage of Xcel Brands with a Buy rating and $3 price target. The firm is positive on the company's positioning as a dedicated creator-led brand platform and a key beneficiary of the growth in social commerce, the analyst tells investors in a research note. Xcel has completed its shift to an asset-light, pure-licensing, 100% gross margin model, positioning it for meaningful operating leverage, and Maxim expects revenue to bottom in 2025, followed by mid-teens growth and adjusted EBITDA turning positive in 2026, the firm added.
