William Blair analyst Matthew Pfau upgraded ShotSpotter to Outperform from Market Perform without a price target. Since the downgrade to Market Perform in August of 2019, the business has increased revenue by 66% while the stock is down 24%, Pfau tells investors in a research note. In addition to a lower valuation, the funding environment has improved and is “better than it ever has been” in ShotSpotter’s public life, and management has better visibility into the business driven by less reliance on Respond deals to tier-one cities, longer- term contracts, and product diversification, Pfau contends. The analyst believes ShotSpotter should be less impacted by a recession than many other software-as-a-service businesses. Violent crime is increasing in many cities across the United States, and ShotSpotter is one of only a few tools cities can implement to reduce gun violence, he contends. The analyst sees greater than 60% upside to shares over the next two years.