Beyond The Numbers: 13 Analysts Discuss Braze Stock

Analysts' ratings for Braze BRZE over the last quarter vary from bullish to bearish, as provided by 13 analysts.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Braze, presenting an average target of $63.85, a high estimate of $75.00, and a low estimate of $50.00. A 3.98% drop is evident in the current average compared to the previous average price target of $66.50.

Decoding Analyst Ratings: A Detailed Look

An in-depth analysis of recent analyst actions unveils how financial experts perceive Braze. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Braze. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Braze compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

For valuable insights into Braze's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Braze analyst ratings.

Get to Know Braze Better

Braze Inc is a customer engagement platform that powers customer-centric interactions between consumers and brands. The company provides solutions for Retail & E-commerce, Media & Entertainment, Financial Services, and Travel & Hospitality related industries. The company offers a single, vertically integrated platform that encompasses the various functionalities, or layers, required for modern customer engagement: data ingestion, classification, orchestration, personalization, and action, all of which is supported by Sage AI by Braze, its AI engine designed to power AI functionality across all layers of this stack. It generates a majority of its revenue from the United States.

Braze's Financial Performance

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Braze's remarkable performance in 3 months is evident. As of 31 January, 2024, the company achieved an impressive revenue growth rate of 32.72%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -21.59%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Braze's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -6.41%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Braze's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -3.58%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Braze's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.2.

The Basics of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.