Braze (NASDAQ:BRZE) Issues FY 2027 Earnings Guidance

Key Points

• Braze sharply raised FY2027 guidance: it now expects EPS of 0.610–0.650 (consensus 0.070) and revenue of $884–889M (consensus $858M), and set Q1 2027 EPS guidance of 0.100–0.110.
• Despite the upbeat outlook, BRZE shares traded down to $20.13; the company remains unprofitable with a -17.78% net margin even as revenue rose 27.9% year‑over‑year, and analysts hold a "Moderate Buy" consensus with an average price target of $36.67.

Braze (NASDAQ:BRZE - Get Free Report) updated its FY 2027 earnings guidance on Thursday. The company provided EPS guidance of 0.610-0.650 for the period, compared to the consensus EPS estimate of 0.070. The company issued revenue guidance of $884.0 million-$889.0 million, compared to the consensus revenue estimate of $858.0 million. Braze also updated its Q1 2027 guidance to 0.100-0.110 EPS.

Braze Stock Performance

NASDAQ BRZE traded down $1.34 on Thursday, reaching $20.13. 2,119,498 shares of the company's stock traded hands, compared to its average volume of 3,172,718. The firm has a market cap of $2.28 billion, a price-to-earnings ratio of -16.50 and a beta of 0.89. The stock has a 50 day moving average price of $19.58 and a 200-day moving average price of $25.96. Braze has a fifty-two week low of $15.26 and a fifty-two week high of $37.67.

Braze (NASDAQ:BRZE - Get Free Report) last released its quarterly earnings data on Tuesday, March 24th. The company reported $0.10 earnings per share for the quarter, missing analysts' consensus estimates of $0.14 by ($0.04). Braze had a negative net margin of 17.78% and a negative return on equity of 18.75%. The firm had revenue of $205.17 million during the quarter, compared to analysts' expectations of $198.23 million. During the same period in the previous year, the firm posted $0.12 EPS. The firm's quarterly revenue was up 27.9% on a year-over-year basis. As a group, equities research analysts anticipate that Braze will post -0.98 EPS for the current fiscal year.

Analyst Ratings Changes

BRZE has been the subject of a number of recent analyst reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Braze in a report on Monday, December 29th. UBS Group cut their price objective on shares of Braze from $43.00 to $28.00 and set a "buy" rating for the company in a report on Wednesday, March 25th. TD Cowen cut their price objective on shares of Braze from $43.00 to $30.00 and set a "buy" rating for the company in a report on Friday, March 20th. The Goldman Sachs Group cut their target price on shares of Braze from $45.00 to $40.00 and set a "buy" rating for the company in a research note on Wednesday, March 25th. Finally, Wolfe Research raised shares of Braze to an "overweight" rating in a research note on Wednesday, December 10th. Twenty-two investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Braze currently has an average rating of "Moderate Buy" and an average price target of $36.67.

Insider Buying and Selling at Braze

In related news, CTO Jonathan Hyman sold 7,391 shares of the business's stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $16.93, for a total transaction of $125,129.63. Following the transaction, the chief technology officer directly owned 1,692,933 shares in the company, valued at approximately $28,661,355.69. The trade was a 0.43% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CEO William Magnuson sold 26,413 shares of the stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $16.93, for a total transaction of $447,172.09. Following the completion of the sale, the chief executive officer directly owned 4,491,098 shares in the company, valued at approximately $76,034,289.14. This represents a 0.58% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 60,676 shares of company stock valued at $1,027,661. Corporate insiders own 18.20% of the company's stock.

Institutional Trading of Braze

A number of hedge funds have recently made changes to their positions in the company. Caitong International Asset Management Co. Ltd increased its stake in Braze by 3,650.0% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 825 shares of the company's stock valued at $28,000 after purchasing an additional 803 shares during the last quarter. Kemnay Advisory Services Inc. bought a new stake in shares of Braze during the fourth quarter valued at approximately $52,000. Osaic Holdings Inc. raised its holdings in shares of 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 buying an additional 1,404 shares during the last quarter. Quarry LP bought a new stake in shares of Braze during the third quarter valued at approximately $46,000. Finally, Kestra Advisory Services LLC acquired a new stake in Braze in the fourth quarter worth about $182,000. Hedge funds and other institutional investors own 90.47% of the company's stock.

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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