Freshworks (NASDAQ:FRSH) Sees Large Volume Increase – Should You Buy?

Freshworks Inc. (NASDAQ:FRSH) shares saw unusually-high trading volume on Wednesday . 31,211,912 shares were traded during trading, an increase of 238% from the previous session’s volume of 9,239,340 shares.The stock last traded at $9.4390 and had previously closed at $9.19.

Analysts Set New Price Targets

FRSH has been the topic of several research analyst reports. Wall Street Zen cut Freshworks from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. Oppenheimer downgraded shares of Freshworks from an “outperform” rating to a “market perform” rating in a research report on Thursday, March 19th. Zacks Research upgraded shares of Freshworks from a “hold” rating to a “strong-buy” rating in a research report on Thursday, May 7th. Weiss Ratings lowered shares of Freshworks from a “sell (d+)” rating to a “sell (d)” rating in a research note on Thursday, May 7th. Finally, Morgan Stanley lowered their price target on shares of Freshworks from $15.00 to $13.00 and set an “equal weight” rating on the stock in a report on Monday, May 11th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $12.18.

Freshworks Stock Performance

The firm’s 50 day moving average is $9.00 and its 200-day moving average is $9.51. The firm has a market cap of $2.66 billion, a price-to-earnings ratio of 15.54 and a beta of 0.89.

Freshworks (NASDAQ:FRSH) last posted its earnings results on Tuesday, May 5th. The company reported $0.11 earnings per share for the quarter, meeting the consensus estimate of $0.11. Freshworks had a return on equity of 4.27% and a net margin of 20.69%.The company had revenue of $228.63 million for the quarter, compared to analyst estimates of $223.63 million. During the same period last year, the company earned $0.18 earnings per share. The business’s revenue was up 16.5% compared to the same quarter last year. Freshworks has set its FY 2026 guidance at 0.610-0.630 EPS and its Q2 2026 guidance at 0.130-0.130 EPS. As a group, research analysts predict that Freshworks Inc. will post -0.02 EPS for the current year.

Insider Buying and Selling

In other Freshworks news, CAO Philippa Lawrence sold 10,530 shares of the business’s stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $9.18, for a total transaction of $96,665.40. Following the completion of the transaction, the chief accounting officer owned 465,823 shares of the company’s stock, valued at $4,276,255.14. The trade was a 2.21% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 8.54% of the stock is owned by company insiders.

Institutional Trading of Freshworks

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Royal Bank of Canada increased its position in Freshworks by 120.8% during the first quarter. Royal Bank of Canada now owns 21,388 shares of the company’s stock worth $302,000 after acquiring an additional 11,703 shares during the period. Amundi grew its position in Freshworks by 1.3% in the 1st quarter. Amundi now owns 80,074 shares of the company’s stock worth $1,049,000 after purchasing an additional 1,040 shares during the last quarter. Goldman Sachs Group Inc. grew its position in Freshworks by 35.1% in the 1st quarter. Goldman Sachs Group Inc. now owns 2,225,056 shares of the company’s stock worth $31,396,000 after purchasing an additional 578,628 shares during the last quarter. Woodline Partners LP increased its holdings in shares of Freshworks by 13.5% during the 1st quarter. Woodline Partners LP now owns 21,569 shares of the company’s stock worth $304,000 after purchasing an additional 2,571 shares during the period. Finally, Focus Partners Wealth raised its position in shares of Freshworks by 20.2% during the first quarter. Focus Partners Wealth now owns 12,399 shares of the company’s stock valued at $175,000 after buying an additional 2,086 shares during the last quarter. Institutional investors and hedge funds own 75.58% of the company’s stock.

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.