StepStone Group LP Acquires Shares of 42,586 Freshworks Inc. $FRSH

Key Points

• StepStone Group LP has made a new investment in Freshworks Inc., acquiring 42,586 shares valued at approximately $601,000, making it their 12th biggest holding.
• Insider sales included Director Barry L. Padgett selling 7,558 shares, resulting in an 18.80% decrease in his position, while Director Jennifer H. Taylor also sold a portion of her shares, indicating mixed sentiment among insiders.
• Analysts have given Freshworks a consensus rating of "Moderate Buy" with a price target ranging from $18.00 to $27.00, reflecting positive expectations for the company's earnings and stock performance.

StepStone Group LP acquired a new position in Freshworks Inc. (NASDAQ:FRSH - Free Report) in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 42,586 shares of the company's stock, valued at approximately $601,000. Freshworks comprises about 0.6% of StepStone Group LP's investment portfolio, making the stock its 12th largest holding.

Other institutional investors have also added to or reduced their stakes in the company. FNY Investment Advisers LLC purchased a new position in Freshworks during the first quarter valued at approximately $70,000. DekaBank Deutsche Girozentrale lifted its position in Freshworks by 91.2% during the first quarter. DekaBank Deutsche Girozentrale now owns 5,899 shares of the company's stock valued at $84,000 after purchasing an additional 2,814 shares during the period. Quarry LP increased its holdings in Freshworks by 47.8% in the fourth quarter. Quarry LP now owns 5,410 shares of the company's stock valued at $87,000 after buying an additional 1,750 shares in the last quarter. Liberty Mutual Group Asset Management Inc. purchased a new stake in shares of Freshworks during the first quarter worth about $106,000. Finally, US Bancorp DE increased its stake in shares of Freshworks by 671.4% during the first quarter. US Bancorp DE now owns 8,331 shares of the company's stock worth $118,000 after purchasing an additional 7,251 shares in the last quarter. Institutional investors own 75.58% of the company's stock.

Insider Activity

In related news, Director Barry L. Padgett sold 7,558 shares of the company's stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $15.14, for a total transaction of $114,428.12. Following the sale, the director directly owned 32,635 shares of the company's stock, valued at $494,093.90. This represents a 18.80% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Jennifer H. Taylor sold 4,690 shares of the company's stock in a transaction that occurred on Monday, August 11th. The stock was sold at an average price of $12.53, for a total transaction of $58,765.70. Following the sale, the director directly owned 44,218 shares in the company, valued at approximately $554,051.54. The trade was a 9.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 200,491 shares of company stock worth $3,101,115 over the last 90 days. Company insiders own 11.17% of the company's stock.

Freshworks Price Performance

Shares of FRSH stock traded down $0.39 during trading hours on Tuesday, hitting $13.18. The company had a trading volume of 3,250,837 shares, compared to its average volume of 6,020,601. The company's fifty day moving average is $14.03 and its 200 day moving average is $14.68. Freshworks Inc. has a fifty-two week low of $10.81 and a fifty-two week high of $19.77. The stock has a market capitalization of $3.84 billion, a PE ratio of -73.22 and a beta of 0.94.

Freshworks (NASDAQ:FRSH - Get Free Report) last issued its quarterly earnings data on Tuesday, July 29th. The company reported $0.18 EPS for the quarter, topping the consensus estimate of $0.12 by $0.06. Freshworks had a negative net margin of 7.02% and a negative return on equity of 2.56%. The firm had revenue of $204.68 million for the quarter, compared to analyst estimates of $198.85 million. During the same period in the prior year, the business posted $0.08 EPS. The business's revenue for the quarter was up 19.6% compared to the same quarter last year. Freshworks has set its FY 2025 guidance at 0.560-0.580 EPS. Q3 2025 guidance at 0.120-0.140 EPS. Equities analysts forecast that Freshworks Inc. will post -0.19 earnings per share for the current year.

Wall Street Analysts Forecast Growth

FRSH has been the subject of a number of research reports. Piper Sandler boosted their target price on shares of Freshworks from $22.00 to $25.00 and gave the stock an "overweight" rating in a research note on Wednesday, July 30th. UBS Group cut their target price on shares of Freshworks from $22.00 to $19.00 and set a "buy" rating for the company in a research note on Friday, May 2nd. Wells Fargo & Company boosted their target price on shares of Freshworks from $11.00 to $12.00 and gave the stock an "underweight" rating in a research note on Wednesday, April 30th. JMP Securities reissued a "market outperform" rating and set a $27.00 target price on shares of Freshworks in a research note on Wednesday, April 30th. Finally, Wall Street Zen cut shares of Freshworks from a "strong-buy" rating to a "buy" rating in a research note on Saturday. Eight analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, Freshworks currently has a consensus rating of "Moderate Buy" and an average price target of $20.29.

About Freshworks

Freshworks Inc, a software development company, provides software-as-a-service products worldwide. It offers Freshworks Customer Service Suite, which provides automated, personalized self-service on various channels, including web, chat, mobile messaging, email, and social; Freshdesk, a ticketing-centric customer service solution; Freshsuccess, a customer success solution; and Freshchat that provides agents with a modern conversational experience to proactively engage customers across digital messaging channels.