BTIG Research Reaffirms Buy Rating for Braze (NASDAQ:BRZE)

Key Points

• BTIG Research reaffirmed its Buy rating on Braze and set a $35 price target, implying approximately 39.4% upside from the reported share price. Analysts overall assign the stock a “Moderate Buy” consensus rating with an average target of $38.21.
• Braze exceeded quarterly expectations, reporting $0.19 in EPS versus the $0.16 consensus estimate and revenue of $227.23 million versus $220.27 million expected. Revenue increased 26.2% year over year.
• The stock was reported up 8.4%, while institutional investors owned 90.47% of outstanding shares; company insiders sold approximately $6.1 million worth of stock during the latest quarter.

Braze (NASDAQ:BRZE - Get Free Report)'s stock had its "buy" rating reaffirmed by investment analysts at BTIG Research in a report issued on Thursday, Benzinga reports. They presently have a $35.00 target price on the stock. BTIG Research's target price suggests a potential upside of 39.44% from the company's current price.

Other research analysts have also recently issued reports about the stock. JPMorgan Chase & Co. dropped their price objective on shares of Braze from $35.00 to $34.00 and set an "overweight" rating for the company in a research note on Wednesday, September 9th. Oppenheimer boosted their target price on shares of Braze from $30.00 to $36.00 and gave the stock an "outperform" rating in a report on Thursday, August 27th. DA Davidson restated a "buy" rating and set a $40.00 price target on shares of Braze in a report on Wednesday, September 9th. Stifel Nicolaus set a $35.00 price target on Braze in a report on Wednesday, September 9th. Finally, Weiss Ratings reissued a "sell (e+)" rating on shares of Braze in a report on Tuesday, July 7th. Nineteen investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $38.21.

Braze Trading Up 8.4%

Braze stock opened at $25.10 on Thursday. The company has a current ratio of 1.27, a quick ratio of 1.27 and a debt-to-equity ratio of 0.02. The firm has a market cap of $2.85 billion, a PE ratio of -24.37 and a beta of 0.88. Braze has a 12 month low of $15.26 and a 12 month high of $37.33. The stock's 50 day simple moving average is $27.51 and its two-hundred day simple moving average is $24.22.

Braze (NASDAQ:BRZE - Get Free Report) last issued its earnings results on Tuesday, September 8th. The company reported $0.19 earnings per share for the quarter, topping the consensus estimate of $0.16 by $0.03. Braze had a negative return on equity of 16.11% and a negative net margin of 13.55%.The business had revenue of $227.23 million for the quarter, compared to analysts' expectations of $220.27 million. During the same period in the previous year, the firm posted $0.15 EPS. The business's revenue for the quarter was up 26.2% compared to the same quarter last year. Braze has set its FY 2027 guidance at 0.640-0.650 EPS and its Q3 2027 guidance at 0.130-0.140 EPS. Analysts anticipate that Braze will post -0.7 earnings per share for the current year.

Insiders Place Their Bets

In related news, CTO Jonathan Hyman sold 42,000 shares of Braze stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $32.47, for a total transaction of $1,363,740.00. Following the sale, the chief technology officer directly owned 1,143,219 shares in the company, valued at $37,120,320.93. The trade was a 3.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Astha Malik sold 33,656 shares of Braze stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $27.65, for a total transaction of $930,588.40. Following the completion of the transaction, the insider directly owned 278,138 shares of the company's stock, valued at $7,690,515.70. This trade represents a 10.79% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 203,568 shares of company stock worth $6,096,461 over the last quarter. 12.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Braze

A number of hedge funds and other institutional investors have recently modified their holdings of BRZE. Westfield Capital Management Co. LP raised its position in Braze by 0.4% during the fourth quarter. Westfield Capital Management Co. LP now owns 2,187,275 shares of the company's stock valued at $75,002,000 after purchasing an additional 9,322 shares during the period. Geode Capital Management LLC lifted its position in Braze by 4.2% in the fourth quarter. Geode Capital Management LLC now owns 2,082,739 shares of the company's stock worth $71,430,000 after buying an additional 84,365 shares during the last quarter. The Manufacturers Life Insurance Company increased its position in Braze by 30.4% during the first quarter. The Manufacturers Life Insurance Company now owns 1,885,577 shares of the company's stock valued at $44,518,000 after acquiring an additional 439,513 shares during the last quarter. Stephens Investment Management Group LLC lifted its holdings in shares of Braze by 11.2% in the 1st quarter. Stephens Investment Management Group LLC now owns 1,370,986 shares of the company's stock worth $32,369,000 after acquiring an additional 137,843 shares during the last quarter. Finally, Kettle Hill Capital Management LLC bought a new position in Braze during the 4th quarter valued at about $25,639,000. Institutional investors own 90.47% of the company's stock.

Braze Company Profile

Braze, Inc is a customer engagement software company that helps businesses build and manage personalized interactions with consumers. Its cloud-based platform enables organizations to collect and analyze customer data, create audience segments, and deliver marketing messages across multiple channels.

The Braze platform supports communication through mobile and web applications, email, SMS, messaging services, and other digital channels. Its offerings include campaign orchestration, customer journey management, in-app and browser messaging, personalization, analytics, experimentation, and artificial intelligence tools designed to help companies improve customer retention and engagement.

The company was founded in 2011 as Appboy by Bill Magnuson, Mark Ghermezian, and Jon Hyman, and later adopted the Braze name.