Moneysupermarket shares were upgraded at Barclays after the Bank sees a clearer backdrop for European internet stocks.

Moneysupermarket.com was Upgraded to Overweight from Equal Weight by Barclays analyst Andrew Ross and kept a 270p price target. Ross stated that the backdrop for European internet stocks was looking clearer in 2023, following a 2022 that was “not a good vintage.”

Therefore, the analyst sees strong profit growth for the group this year.

Moneysupermarket shares were relatively resilient over the course of last year. Despite a rocky start, the stock has shown strong upside momentum since November and is currently up 35% over the last three months.

The most recent results back in October saw the group post revenue growth of 15% and anticipate full-year EBITDA towards the upper end of market expectations.

Moneysupermarket are expected to report its prelim results on the 16 February.

Moneysupermarket’s online traffic so far is difficult to argue in either direction. The group saw a major gain in 2020, however traffic began to stabilise in 2021 and it has yet to show any momentum.

With soaring inflation and challenging spending conditions, Moneysupermarket will hope to benefit from more consumers switching to price match car, home, travel and many more insurance policies.