Freshworks Inc. (NASDAQ:FRSH) Receives Consensus Recommendation of "Hold" from Brokerages

Key Points

• Analyst consensus: "Hold" — Fifteen brokerages cover Freshworks with 1 sell, 8 holds and 6 buys, leaving an average 1‑year target of about $12.45.
• Q1 results showed $0.11 EPS (in line) and $228.6M revenue (beat), with revenue up ~16.5% YoY; management issued upbeat FY2026 guidance (EPS $0.61–0.63, revenue $958–964M) and disclosed its largest-ever enterprise deals including a >$1M ARR win.
• Near‑term risks: the company plans to cut roughly 11% of staff (~500 jobs), which may pressure sentiment, while insiders have sold shares and institutions now own about 75.6% of the stock.

Freshworks Inc. (NASDAQ:FRSH - Get Free Report) has been assigned an average rating of "Hold" from the fifteen research firms that are covering the firm, MarketBeat reports. One analyst has rated the stock with a sell rating, eight have given a hold rating and six have assigned a buy rating to the company. The average 1-year target price among brokerages that have issued a report on the stock in the last year is $12.4545.

FRSH has been the subject of a number of analyst reports. Canaccord Genuity Group set a $14.00 price target on Freshworks in a research note on Wednesday, February 11th. UBS Group set a $11.00 price target on Freshworks in a research note on Wednesday, February 11th. Oppenheimer lowered Freshworks from an "outperform" rating to a "market perform" rating in a research note on Thursday, March 19th. Jefferies Financial Group lowered Freshworks from a "buy" rating to a "hold" rating and cut their price objective for the company from $20.00 to $8.00 in a research report on Monday, February 23rd. Finally, Wall Street Zen upgraded Freshworks from a "hold" rating to a "buy" rating in a research report on Monday, April 6th.

Freshworks Stock Performance

Shares of Freshworks stock opened at $8.85 on Thursday. Freshworks has a one year low of $6.79 and a one year high of $16.14. The stock has a market cap of $2.51 billion, a P/E ratio of 14.27 and a beta of 0.83. The stock's fifty day moving average is $8.18 and its 200 day moving average is $10.13.

Freshworks (NASDAQ:FRSH - Get Free Report) last issued its quarterly earnings results on Tuesday, May 5th. The company reported $0.11 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.11. Freshworks had a return on equity of 4.34% and a net margin of 20.69%.The business had revenue of $228.63 million during the quarter, compared to analyst estimates of $223.64 million. During the same quarter in the prior year, the business posted $0.18 EPS. Freshworks's revenue for the quarter was up 16.5% compared to the same quarter last year. Freshworks has set its FY 2026 guidance at 0.610-0.630 EPS and its Q2 2026 guidance at 0.130-0.130 EPS. Analysts predict that Freshworks will post -0.1 EPS for the current year.

Insider Buying and Selling at Freshworks

In other news, insider Mika Yamamoto sold 32,577 shares of the firm's stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $8.45, for a total transaction of $275,275.65. Following the completion of the transaction, the insider owned 1,127,723 shares in the company, valued at $9,529,259.35. This trade represents a 2.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 8.54% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in FRSH. Balyasny Asset Management L.P. purchased a new position in shares of Freshworks during the fourth quarter valued at about $31,967,000. Norges Bank purchased a new position in Freshworks in the fourth quarter worth about $31,873,000. Jupiter Asset Management Ltd. grew its position in Freshworks by 1,528.6% in the fourth quarter. Jupiter Asset Management Ltd. now owns 1,708,811 shares of the company's stock worth $20,933,000 after acquiring an additional 1,603,887 shares in the last quarter. Qube Research & Technologies Ltd grew its position in Freshworks by 132.6% in the third quarter. Qube Research & Technologies Ltd now owns 2,790,166 shares of the company's stock worth $32,840,000 after acquiring an additional 1,590,384 shares in the last quarter. Finally, Squarepoint Ops LLC grew its position in Freshworks by 345.1% in the second quarter. Squarepoint Ops LLC now owns 1,835,798 shares of the company's stock worth $27,372,000 after acquiring an additional 1,423,391 shares in the last quarter. Hedge funds and other institutional investors own 75.58% of the company's stock.

More Freshworks News

Here are the key news stories impacting Freshworks this week:

• Positive Sentiment: Q1 results and upbeat guidance — Freshworks reported $0.11 EPS (in line) and $228.6M revenue (beat), said revenue grew ~16.5% YoY, and issued Q2 and FY2026 guidance (Q2 EPS $0.13; FY EPS $0.61–0.63; revenue $958–964M) that is materially above consensus — a clear positive catalyst if the guidance is believed. Freshworks Reports First Quarter 2026 Results
• Positive Sentiment: Large enterprise wins — the company disclosed it landed the two largest deals in its history, including its first >$1M ARR deal, supporting the revenue beat and long-term upsell/expansion thesis. Freshworks Reports First Quarter 2026 Results
• Neutral Sentiment: Earnings call/transcripts available — full Q1 earnings call transcripts and slide deck were published (useful for investors digging into management commentary on demand, margin drivers, and AI strategy). Freshworks Inc. NASDAQ: FRSH Q1 2026 Earnings Call Transcript
• Neutral Sentiment: Investor event scheduled — Freshworks will host a Financial Analyst Session at Refresh 2026 on May 14, giving analysts a chance to probe guidance and execution plans. Freshworks to Host Financial Analyst Session at Refresh 2026
• Negative Sentiment: Workforce reduction announced — Freshworks said it will cut about 11% of staff (~500 jobs) as it restructures for AI-driven changes; layoffs can signal near-term execution risk and create uncertainty around growth/retention. Freshworks to cut 11% jobs as AI reshapes software sector
• Negative Sentiment: Market concern over AI disruption and cost cuts — multiple outlets highlighted the cuts and industry disruption from AI, which may keep downward pressure on the stock as investors weigh near-term risk versus the company's optimistic guidance. Freshworks To Cut 500 Jobs Globally in Fresh Restructuring Push

About Freshworks

Freshworks, Inc is a global provider of cloud-based customer engagement software designed to help businesses streamline customer support, sales, marketing, and IT service operations. The company's integrated suite of solutions enables organizations of all sizes to deliver seamless experiences across multiple channels, including email, chat, phone, and social media. Freshworks' platform is built on modern, user-friendly interfaces and offers native automation, AI-powered insights, and analytics to improve efficiency and customer satisfaction.

The company's flagship product, Freshdesk, serves as a helpdesk solution for customer support teams, while Freshservice addresses IT service management needs.

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