Deep Dive Into Freshworks Stock: Analyst Perspectives (7 Ratings)

Throughout the last three months, 7 analysts have evaluated Freshworks FRSH, offering a diverse set of opinions from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts have recently evaluated Freshworks and provided 12-month price targets. The average target is $16.86, accompanied by a high estimate of $20.00 and a low estimate of $13.00. This current average represents a 11.26% decrease from the previous average price target of $19.00.

Exploring Analyst Ratings: An In-Depth Overview

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

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Freshworks. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Freshworks compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Freshworks's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Freshworks's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Freshworks analyst ratings.

All You Need to Know About Freshworks

Freshworks Inc provides software as a service platform that enables small and medium-sized businesses to support customers through e-mail, phone, website, and social networks. It offers solutions that serve the needs of users in the CS and ITSM categories and has also expanded its offering with Sales and Marketing automation products. These product offerings enable organizations to acquire, engage, and serve their customers and employees. The group derives revenue from North America, Europe, the Middle East and Africa, Asia Pacific, and Other regions.

Understanding the Numbers: Freshworks's Finances

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Revenue Growth: Freshworks's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 20.03%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Information Technology sector.

Net Margin: Freshworks's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -11.59% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Freshworks's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -1.84%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Freshworks's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of -1.34%, the company showcases efficient use of assets and strong financial health.

Debt Management: With a below-average debt-to-equity ratio of 0.03, Freshworks adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Core of Analyst Ratings: What Every Investor Should Know

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

Breaking: Wall Street's Next Big Mover

Benzinga's #1 analyst just identified a stock poised for explosive growth. This under-the-radar company could surge 200%+ as major market shifts unfold. Click here for urgent details.

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