Freshworks (NASDAQ:FRSH) Stock Rating Upgraded by Zacks Research

Freshworks (NASDAQ:FRSH) was upgraded by analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued to clients and investors on Thursday, Zacks reports.

Several other research firms have also recently issued reports on FRSH. Weiss Ratings upgraded Freshworks from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, September 29th. Wolfe Research lowered shares of Freshworks from an “outperform” rating to a “peer perform” rating in a research report on Wednesday. UBS Group boosted their price objective on shares of Freshworks from $14.00 to $17.00 and gave the stock a “buy” rating in a report on Wednesday. Wells Fargo & Company reiterated an “overweight” rating on shares of Freshworks in a research note on Thursday. Finally, Piper Sandler increased their target price on shares of Freshworks from $12.00 to $15.00 and gave the stock a “neutral” rating in a research note on Wednesday. Two investment analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $15.92.

Freshworks Price Performance

Shares of FRSH opened at $12.11 on Thursday. The firm has a market cap of $3.16 billion, a PE ratio of 78.94, a PEG ratio of 9.47 and a beta of 0.80. The stock’s fifty day moving average price is $13.45 and its two-hundred day moving average price is $10.50. Freshworks has a 1 year low of $6.79 and a 1 year high of $15.51.

Freshworks (NASDAQ:FRSH) last released its quarterly earnings data on Tuesday, November 3rd. The company reported $0.22 earnings per share for the quarter, beating the consensus estimate of $0.18 by $0.04. Freshworks had a net margin of 20.49% and a return on equity of 5.52%. The firm had revenue of $245.43 million during the quarter, compared to analysts’ expectations of $245.06 million. During the same period in the previous year, the company earned $0.16 earnings per share. The firm’s quarterly revenue was up 14.1% on a year-over-year basis. Sell-side analysts anticipate that Freshworks will post 0.06 earnings per share for the current fiscal year.

Insider Activity at Freshworks

In related news, CAO Philippa Lawrence sold 52,767 shares of the company’s stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $13.25, for a total transaction of $699,162.75. Following the completion of the sale, the chief accounting officer directly owned 389,296 shares in the company, valued at $5,158,172. This represents a 11.94% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 8.54% of the company’s stock.

Institutional Investors Weigh In On Freshworks

Hedge funds have recently modified their holdings of the company. Renaissance Technologies LLC increased its position in Freshworks by 79.1% during the 1st quarter. Renaissance Technologies LLC now owns 4,576,000 shares of the company’s stock worth $36,745,000 after purchasing an additional 2,021,412 shares during the period. Wellington Management Group LLP boosted its stake in shares of Freshworks by 9.7% during the 2nd quarter. Wellington Management Group LLP now owns 4,000,543 shares of the company’s stock worth $40,485,000 after acquiring an additional 353,714 shares in the last quarter. Bank of America Corp DE lifted its stake in Freshworks by 1.4% in the first quarter. Bank of America Corp DE now owns 2,128,268 shares of the company’s stock valued at $17,090,000 after acquiring an additional 30,395 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund raised its stake in shares of Freshworks by 403.4% in the first quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 1,444,124 shares of the company’s stock valued at $11,596,000 after purchasing an additional 1,157,277 shares in the last quarter. Finally, Walleye Capital LLC boosted its position in Freshworks by 2,480.8% in the 1st quarter. Walleye Capital LLC now owns 1,247,655 shares of the company’s stock valued at $10,019,000 after buying an additional 1,199,311 shares during the last quarter. Hedge funds and other institutional investors own 75.58% of the company’s stock.

About Freshworks

Freshworks Inc (NASDAQ:FRSH) develops cloud-based customer and employee engagement software for businesses of various sizes. Its products are designed to help organizations manage customer support, IT service operations, sales activities, and marketing workflows through user-friendly, artificial intelligence-enabled applications.

The company’s product portfolio includes Freshdesk for customer service and support, Freshservice for IT and enterprise service management, Freshsales for customer relationship management, and Freshmarketer for marketing automation and customer engagement.