Freshworks (NASDAQ:FRSH) Issues Q1 2026 Earnings Guidance

Freshworks (NASDAQ:FRSH) issued an update on its first quarter 2026 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 0.100-0.120 for the period, compared to the consensus estimate of 0.070. The company issued revenue guidance of $222.0 million-$225.0 million, compared to the consensus revenue estimate of $220.6 million. Freshworks also updated its FY 2026 guidance to 0.550-0.570 EPS.

Freshworks Stock Up 1.2%

NASDAQ FRSH traded up $0.10 during trading hours on Tuesday, reaching $8.73. 13,008,625 shares of the company were exchanged, compared to its average volume of 5,204,842. The stock has a market capitalization of $2.46 billion, a P/E ratio of -87.29 and a beta of 0.89. Freshworks has a 1 year low of $8.45 and a 1 year high of $18.77. The business’s 50 day simple moving average is $11.74 and its 200-day simple moving average is $12.10.

Freshworks (NASDAQ:FRSH) last released its earnings results on Tuesday, February 10th. The company reported $0.14 earnings per share for the quarter, beating analysts’ consensus estimates of $0.11 by $0.03. Freshworks had a negative net margin of 3.65% and a negative return on equity of 0.37%. The firm had revenue of $222.74 million during the quarter, compared to the consensus estimate of $218.76 million. Freshworks has set its Q1 2026 guidance at 0.100-0.120 EPS and its FY 2026 guidance at 0.550-0.570 EPS. As a group, sell-side analysts anticipate that Freshworks will post -0.19 earnings per share for the current year.

Analyst Ratings Changes

Several research analysts have recently weighed in on FRSH shares. Needham & Company LLC reiterated a “buy” rating on shares of Freshworks in a research note on Monday, December 15th. Piper Sandler downgraded shares of Freshworks from an “overweight” rating to a “neutral” rating and set a $12.00 price objective on the stock. in a report on Monday, February 2nd. Cantor Fitzgerald reiterated an “overweight” rating on shares of Freshworks in a research report on Tuesday, January 20th. UBS Group reiterated a “buy” rating and issued a $17.00 target price on shares of Freshworks in a research note on Friday, November 14th. Finally, Zacks Research cut shares of Freshworks from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 12th. Six analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $18.54.

Insider Buying and Selling

In related news, insider Mika Yamamoto sold 15,012 shares of the stock in a transaction on Friday, December 5th. The shares were sold at an average price of $13.00, for a total transaction of $195,156.00. Following the transaction, the insider owned 490,350 shares of the company’s stock, valued at approximately $6,374,550. This trade represents a 2.97% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Philippa Lawrence sold 5,846 shares of Freshworks stock in a transaction dated Tuesday, December 2nd. The stock was sold at an average price of $12.06, for a total value of $70,502.76. Following the completion of the transaction, the chief accounting officer owned 392,711 shares in the company, valued at approximately $4,736,094.66. This represents a 1.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 22,267 shares of company stock valued at $282,301. Corporate insiders own 11.17% of the company’s stock.

Institutional Investors Weigh In On Freshworks

Large investors have recently made changes to their positions in the business. EverSource Wealth Advisors LLC boosted its position in Freshworks by 427.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,479 shares of the company’s stock valued at $67,000 after acquiring an additional 3,630 shares in the last quarter. Shay Capital LLC purchased a new position in shares of Freshworks in the 3rd quarter valued at approximately $118,000. One68 Global Capital LLC bought a new stake in shares of Freshworks during the third quarter valued at approximately $118,000. Mercer Global Advisors Inc. ADV purchased a new stake in Freshworks in the third quarter worth $122,000. Finally, Numerai GP LLC bought a new position in Freshworks in the third quarter worth $135,000. 75.58% of the stock is currently owned by institutional investors.

About Freshworks

Freshworks, Inc is a global provider of cloud-based customer engagement software designed to help businesses streamline customer support, sales, marketing, and IT service operations. The company’s integrated suite of solutions enables organizations of all sizes to deliver seamless experiences across multiple channels, including email, chat, phone, and social media. Freshworks’ platform is built on modern, user-friendly interfaces and offers native automation, AI-powered insights, and analytics to improve efficiency and customer satisfaction.

The company’s flagship product, Freshdesk, serves as a helpdesk solution for customer support teams, while Freshservice addresses IT service management needs.