Box Reports AI-Driven Beat, 2 Analysts Dive Into Q1 Results: 'Revenue, Bookings Guidance Lower Due To Currency Headwinds'

Shares of Box Inc BOX were climbing in early trading on Wednesday after the company reported upbeat sales and earnings for the fiscal first quarter.

The results came amid an exciting earnings season. Here are some key analyst takeaways.

• RBC Capital Markets analyst Rishi Jaluria maintained an Underperform rating and price target of $21.
• Oppenheimer analyst George Iwanyc reiterated an Outperform rating and price target of $35.

Check out other analyst stock ratings.

RBC Capital Markets: Box reported revenues of $264.7 million, representing 5% year-on-year growth and beating consensus of $262.2 million, while its non-GAAP earnings came in at 39 cents per share, versus the Street's 36 cents estimate, Jaluria said in a note. Excluding currency headwinds, billions were also in-line and "nearly all KPIs were stable," he added.

Both revenue and bookings guidance were lowered due to incremental currency headwinds, the analyst stated. In the absence of a macro rebound, growth could remain rangebound, he further stated.

"Box sounded encouraged by early interest in Box AI (including Box Hubs), noting it as a key driver of momentum in E+ adoption," Jaluria added.

Oppenheimer: The better-than-expected results were fueled by Box AI, which "drove strong Enterprise Plus upsell activity," Iwanyc said. "Management also highlighted stabilization with US enterprise customers and strong Box AI-driven win rates versus legacy ECM systems," he added.

While Box is investing in sales and go-to-market efforts, the impact "will take time to materialize," the analyst stated. He added, however, that these efforts "can improve expansion rates and help re-accelerate growth in FY26."

BOX Price Action: Shares of Boxhad risen by 7.83% to $27.00 at the time of publication on Wednesday.

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