Freshworks (NASDAQ:FRSH) Updates Q3 Earnings Guidance

Freshworks (NASDAQ:FRSH) issued an update on its third quarter earnings guidance on Tuesday morning. The company provided EPS guidance of $0.07 to $0.08 for the period, compared to the consensus EPS estimate of $0.08. The company issued revenue guidance of $180.0 million to $183.0 million, compared to the consensus revenue estimate of $178.67 million. Freshworks also updated its FY24 guidance to $0.32 to $0.34 EPS.

Freshworks Stock Performance

Shares of NASDAQ FRSH traded down $0.03 during midday trading on Tuesday, hitting $13.28. 4,773,903 shares of the stock traded hands, compared to its average volume of 2,626,719. Freshworks has a one year low of $11.90 and a one year high of $24.98. The firm has a market capitalization of $3.97 billion, a P/E ratio of -33.17 and a beta of 0.74. The firm has a 50-day moving average of $12.88 and a two-hundred day moving average of $16.80.

Freshworks (NASDAQ:FRSH) last announced its earnings results on Wednesday, May 1st. The company reported ($0.07) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.09) by $0.02. The business had revenue of $165.14 million for the quarter, compared to analysts’ expectations of $163.53 million. Freshworks had a negative return on equity of 10.66% and a negative net margin of 18.93%. Equities analysts forecast that Freshworks will post -0.34 earnings per share for the current fiscal year.

Analyst Ratings Changes

A number of brokerages have commented on FRSH. JMP Securities reduced their target price on shares of Freshworks from $29.00 to $21.00 and set a market outperform rating for the company in a report on Thursday, May 2nd. Canaccord Genuity Group decreased their target price on Freshworks from $20.00 to $17.00 and set a buy rating on the stock in a report on Wednesday, July 10th. StockNews.com lowered Freshworks from a buy rating to a hold rating in a report on Saturday, June 22nd. Piper Sandler decreased their price objective on Freshworks from $22.00 to $17.00 and set an overweight rating on the stock in a research note on Friday, July 12th. Finally, Needham & Company LLC cut their price objective on Freshworks from $30.00 to $20.00 and set a buy rating for the company in a research note on Monday, May 20th. Eight analysts have rated the stock with a hold rating and ten have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of Moderate Buy and an average target price of $21.53.

Insiders Place Their Bets

In other news, Director Zachary Nelson sold 8,442 shares of the stock in a transaction that occurred on Monday, June 3rd. The stock was sold at an average price of $12.75, for a total transaction of $107,635.50. Following the completion of the transaction, the director now directly owns 16,535 shares in the company, valued at approximately $210,821.25. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other news, Director Jennifer H. Taylor sold 4,685 shares of the company’s stock in a transaction dated Wednesday, July 10th. The shares were sold at an average price of $12.28, for a total transaction of $57,531.80. Following the sale, the director now directly owns 35,853 shares in the company, valued at approximately $440,274.84. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Zachary Nelson sold 8,442 shares of the stock in a transaction dated Monday, June 3rd. The shares were sold at an average price of $12.75, for a total transaction of $107,635.50. Following the completion of the transaction, the director now directly owns 16,535 shares of the company’s stock, valued at approximately $210,821.25. The disclosure for this sale can be found here. Insiders have sold a total of 34,296 shares of company stock valued at $443,630 in the last quarter. 19.15% of the stock is currently owned by insiders.

Freshworks Company Profile

Freshworks Inc, a software development company, provides software-as-a-service products worldwide. It offers Freshworks Customer Service Suite, which provides automated, personalized self-service on various channels, including web, chat, mobile messaging, email, and social; Freshdesk, a ticketing-centric customer service solution; Freshsuccess, a customer success solution; and Freshchat that provides agents with a modern conversational experience to proactively engage customers across digital messaging channels.