Confluent (NASDAQ:CFLT) Coverage Initiated by Analysts at Wells Fargo & Company

Key Points

• Analysts at Wells Fargo & Company upgraded Confluent from a "sector perform" rating to a "strong-buy" rating, reflecting a more optimistic outlook for the company's future performance.
• Despite the upgrade, other analysts have set lower price targets, with Guggenheim reducing theirs from $31.00 to $29.00, and several others also adjusting their targets downwards in recent reports.
• Confluent's latest quarterly earnings showed a revenue increase of 20.1% year-over-year, with the company reporting earnings of $0.09 per share, surpassing analyst expectations of $0.08.

Analysts at Wells Fargo & Company began coverage on shares of Confluent (NASDAQ:CFLT - Get Free Report) in a report issued on Tuesday, MarketBeat reports. The firm set an "overweight" rating on the stock.

Several other brokerages also recently weighed in on CFLT. Royal Bank Of Canada lowered their price target on Confluent from $28.00 to $25.00 and set an "outperform" rating for the company in a report on Thursday, July 31st. Zacks Research upgraded shares of Confluent from a "strong sell" rating to a "hold" rating in a research note on Monday, September 1st. Guggenheim cut their price target on shares of Confluent from $31.00 to $29.00 and set a "buy" rating on the stock in a research note on Thursday, July 31st. UBS Group decreased their price target on shares of Confluent from $32.00 to $28.00 and set a "buy" rating for the company in a report on Thursday, July 31st. Finally, Barclays lowered their price objective on shares of Confluent from $31.00 to $24.00 and set an "overweight" rating for the company in a research note on Friday, August 1st. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, Confluent currently has a consensus rating of "Moderate Buy" and an average target price of $27.25.

Confluent Price Performance

NASDAQ CFLT opened at $19.72 on Tuesday. The firm's fifty day simple moving average is $19.48 and its two-hundred day simple moving average is $22.06. The firm has a market capitalization of $6.80 billion, a P/E ratio of -20.98 and a beta of 0.96. The company has a current ratio of 3.98, a quick ratio of 3.98 and a debt-to-equity ratio of 1.03. Confluent has a 12-month low of $15.64 and a 12-month high of $37.90.

Confluent (NASDAQ:CFLT - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The company reported $0.09 EPS for the quarter, beating the consensus estimate of $0.08 by $0.01. Confluent had a negative return on equity of 27.34% and a negative net margin of 29.27%.The firm had revenue of $282.29 million during the quarter, compared to analyst estimates of $278.32 million. During the same quarter in the prior year, the business posted $0.06 EPS. The business's revenue for the quarter was up 20.1% compared to the same quarter last year. Confluent has set its Q3 2025 guidance at 0.090-0.100 EPS. FY 2025 guidance at 0.360-0.360 EPS. Analysts forecast that Confluent will post -0.83 EPS for the current fiscal year.

Insider Activity

In other Confluent news, CFO Rohan Sivaram sold 26,097 shares of Confluent stock in a transaction dated Wednesday, August 20th. The stock was sold at an average price of $17.01, for a total transaction of $443,909.97. Following the completion of the transaction, the chief financial officer owned 636,596 shares in the company, valued at approximately $10,828,497.96. This trade represents a 3.94% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Neha Narkhede sold 153,200 shares of the business's stock in a transaction dated Tuesday, September 9th. The shares were sold at an average price of $19.85, for a total value of $3,041,020.00. Following the completion of the transaction, the director directly owned 28,549 shares of the company's stock, valued at approximately $566,697.65. This trade represents a 84.29% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 741,584 shares of company stock valued at $13,597,695 over the last quarter. Insiders own 9.20% of the company's stock.

Institutional Investors Weigh In On Confluent

A number of hedge funds and other institutional investors have recently made changes to their positions in CFLT. Amalgamated Bank lifted its stake in Confluent by 3.4% during the 1st quarter. Amalgamated Bank now owns 16,995 shares of the company's stock worth $398,000 after acquiring an additional 566 shares in the last quarter. GAMMA Investing LLC increased its stake in Confluent by 26.8% during the first quarter. GAMMA Investing LLC now owns 3,128 shares of the company's stock worth $73,000 after purchasing an additional 661 shares during the period. AlphaQuest LLC lifted its position in shares of Confluent by 21.7% during the second quarter. AlphaQuest LLC now owns 4,636 shares of the company's stock worth $116,000 after purchasing an additional 826 shares in the last quarter. M&T Bank Corp lifted its position in shares of Confluent by 4.4% during the first quarter. M&T Bank Corp now owns 22,496 shares of the company's stock worth $527,000 after purchasing an additional 956 shares in the last quarter. Finally, J.W. Cole Advisors Inc. boosted its stake in shares of Confluent by 7.7% in the second quarter. J.W. Cole Advisors Inc. now owns 13,880 shares of the company's stock valued at $346,000 after purchasing an additional 993 shares during the period. Institutional investors and hedge funds own 78.09% of the company's stock.

Confluent Company Profile

Confluent, Inc operates a data streaming platform in the United States and internationally. The company provides platforms that allow customers to connect their applications, systems, and data layers, such as Confluent Cloud, a managed cloud-native software-as-a-service; and Confluent Platform, an enterprise-grade self-managed software.