Olo downgraded to Market Perform on uncertain outlook at William Blair

William Blair downgraded Olo to Market Perform from Outperform without a price target. The company reported slightly better than expected Q3 results but underlying trends were disappointing, the analyst tells investors in a research note. The firm is disappointed by the quality of the financial performance, with Olo Pay driving seemingly all revenue upside while weighing on gross margins, and general trends in the business. Blair now sees a more uncertain outlook amid slowing location growth and the loss of customer Wingstop.