Braze (NASDAQ:BRZE) Earns Overweight Rating from Piper Sandler

Key Points

• Piper Sandler reaffirmed its “overweight” rating on Braze and raised its price target from $27 to $30. The broader analyst consensus remains “Moderate Buy,” with a $38.47 target.
• Braze exceeded quarterly expectations, reporting $0.19 in EPS and $227.23 million in revenue, while revenue grew 26.2% year over year. Management also issued fiscal 2027 guidance above analyst estimates.
• Despite strong institutional ownership at 90.47%, insiders sold 203,568 shares worth approximately $6.1 million over the past 90 days, including sales by the company’s CTO and CRO under pre-arranged trading plans.

Braze (NASDAQ:BRZE - Get Free Report)'s stock had its "overweight" rating reaffirmed by equities researchers at Piper Sandler in a research report issued to clients and investors on Wednesday, Benzinga reports. They currently have a $30.00 price objective on the stock, up from their prior price objective of $27.00. Piper Sandler's target price suggests a potential downside of 1.02% from the company's previous close.

Several other analysts have also weighed in on BRZE. JPMorgan Chase & Co. increased their price target on Braze from $33.00 to $35.00 and gave the company an "overweight" rating in a report on Monday, July 6th. Oppenheimer raised 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. The Goldman Sachs Group set a $34.00 price target on shares of Braze and gave the stock a "buy" rating in a research note on Wednesday, June 24th. Mizuho set a $52.00 price objective on shares of Braze in a research report on Wednesday. Finally, Barclays raised their price objective on shares of Braze from $31.00 to $38.00 and gave the stock an "overweight" rating in a research note on Wednesday, September 2nd. One research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $38.47.

Braze Stock Performance

BRZE opened at $30.31 on Wednesday. The stock has a market capitalization of $3.41 billion, a price-to-earnings ratio of -27.06 and a beta of 0.88. The company has a fifty day moving average of $27.57 and a 200 day moving average of $23.54. Braze has a fifty-two week low of $15.26 and a fifty-two week high of $37.33.

Braze (NASDAQ:BRZE - Get Free Report) last announced its quarterly earnings results on Tuesday, September 8th. The company reported $0.19 EPS for the quarter, topping the consensus estimate of $0.16 by $0.03. The business had revenue of $227.23 million for the quarter, compared to analysts' expectations of $220.27 million. Braze had a negative net margin of 15.51% and a negative return on equity of 17.52%. The business's quarterly revenue was up 26.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.15 EPS. Braze has set its FY 2027 guidance at 0.640-0.650 EPS and its Q3 2027 guidance at 0.130-0.140 EPS. On average, equities research analysts forecast that Braze will post -0.78 earnings per share for the current year.

Insiders Place Their Bets

In other news, CTO Jonathan Hyman sold 42,000 shares of the business's stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $32.47, for a total value of $1,363,740.00. Following the completion of the sale, the chief technology officer owned 1,143,219 shares in the company, valued at approximately $37,120,320.93. The trade was a 3.54% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Edward M. Mcdonnell sold 29,732 shares of Braze stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $31.38, for a total transaction of $932,990.16. Following the transaction, the executive directly owned 409,630 shares in the company, valued at approximately $12,854,189.40. The trade was a 6.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 203,568 shares of company stock worth $6,096,461 in the last ninety days. 12.50% of the stock is owned by company insiders.

Institutional Trading of Braze

A number of hedge funds have recently bought and sold shares of the stock. Fifth Third Bancorp bought a new stake in Braze during the 1st quarter valued at $27,000. Caitong International Asset Management Co. Ltd raised its position in shares of Braze by 3,650.0% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 825 shares of the company's stock worth $28,000 after acquiring an additional 803 shares in the last quarter. Harbor Investment Advisory LLC purchased a new stake in shares of Braze during the 2nd quarter worth $36,000. Osaic Holdings Inc. boosted its position in Braze by 821.1% during the second quarter. Osaic Holdings Inc. now owns 1,575 shares of the company's stock valued at $44,000 after purchasing an additional 1,404 shares in the last quarter. Finally, Quarry LP bought a new position in Braze in the third quarter worth about $46,000. Hedge funds and other institutional investors own 90.47% of the company's stock.

Braze News Roundup

Here are the key news stories impacting Braze this week:

• Positive Sentiment: Q2 results exceeded estimates: Braze reported adjusted earnings of $0.19 per share versus the $0.16 consensus, while revenue rose 26.2% year over year to $227.23 million, above expectations of $220.27 million. Braze Reports Strong Fiscal Second Quarter 2027 Results
• Positive Sentiment: Management raised its outlook: Fiscal 2027 EPS guidance was set at $0.64-$0.65, well above the $0.35 analyst consensus, while revenue guidance of $910 million-$913 million exceeded the $898.4 million consensus. Third-quarter EPS guidance of $0.13-$0.14 and revenue guidance of $229 million-$230 million also topped estimates. Braze Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: Improving profitability trends: Braze highlighted record second-quarter free cash flow, improving operating leverage and increasing customer adoption of its AI-powered engagement tools. These factors support the company’s longer-term growth and margin expansion story. Braze Q2 2027 Earnings Call Highlights

Braze Company Profile

Braze, Inc is a publicly traded software company NASDAQ: BRZE that offers a customer engagement platform designed to help brands build personalized relationships with their users. Founded in 2011 as Appboy by Bill Magnuson, Jon Hyman and Mark Ghermezian, the company adopted the Braze name in 2017 to underscore its focus on fostering strong connections between businesses and consumers. Its cloud-based platform consolidates messaging channels including push notifications, in-app messages, email and SMS, enabling companies to deliver timely, context-driven communications at scale.

The core functionality of Braze's platform centers on data-driven segmentation, customer journey orchestration and real-time analytics.

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