Asana (NYSE:ASAN) Stock Falls 6.4% - Should You Sell?

Key Points

• Asana shares fell 6.4% to about $8.09 in midday trading, with volume below the stock’s average session level.
• Analysts maintain a consensus “Hold” rating with an average price target of $9.95, although ratings range from “Sell” to “Buy.”
• Recent results slightly exceeded expectations, with quarterly revenue of $216.43 million and EPS of $0.10, but Asana remains unprofitable; insiders also sold shares totaling about $4.8 million during the last quarter.

Asana, Inc. (NYSE:ASAN - Get Free Report) shares traded down 6.4% during mid-day trading on Tuesday. The stock traded as low as $8.09 and last traded at $8.0850. Approximately 3,868,327 shares were traded during trading, a decline of 38% from the average session volume of 6,189,369 shares. The stock had previously closed at $8.64.

Wall Street Analysts Forecast Growth

ASAN has been the topic of a number of analyst reports. Citizens Jmp reaffirmed a "market outperform" rating and issued a $15.00 price objective on shares of Asana in a report on Friday, September 4th. UBS Group boosted their target price on shares of Asana from $8.00 to $10.00 and gave the company a "neutral" rating in a research note on Friday, September 4th. DA Davidson raised their price target on shares of Asana from $8.00 to $9.00 and gave the company a "neutral" rating in a research note on Friday, September 4th. Piper Sandler lifted their price target on Asana from $7.00 to $9.00 and gave the company a "neutral" rating in a report on Friday, September 4th. Finally, Royal Bank Of Canada boosted their price objective on Asana from $8.00 to $9.50 and gave the stock a "sector perform" rating in a research report on Friday, September 4th. Four research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $9.95.

Asana Price Performance

The firm's fifty day moving average is $9.00 and its two-hundred day moving average is $7.57. The firm has a market cap of $1.84 billion, a price-to-earnings ratio of -12.14 and a beta of 0.95.

Asana (NYSE:ASAN - Get Free Report) last released its earnings results on Thursday, September 3rd. The company reported $0.10 EPS for the quarter, beating the consensus estimate of $0.09 by $0.01. The firm had revenue of $216.43 million for the quarter, compared to analysts' expectations of $214.15 million. Asana had a negative net margin of 18.62% and a negative return on equity of 80.33%. Asana's quarterly revenue was up 9.9% on a year-over-year basis. During the same quarter last year, the company earned $0.06 EPS. Asana has set its FY 2027 guidance at 0.370-0.370 EPS and its Q3 2027 guidance at 0.080-0.080 EPS. On average, equities analysts forecast that Asana, Inc. will post -0.53 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Asana news, CFO Aziz Megji sold 3,224 shares of the company's stock in a transaction that occurred on Wednesday, September 23rd. The stock was sold at an average price of $9.26, for a total value of $29,854.24. Following the completion of the sale, the chief financial officer directly owned 726,721 shares in the company, valued at $6,729,436.46. This represents a 0.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Daniel Rogers sold 150,175 shares of the stock in a transaction on Tuesday, September 22nd. The shares were sold at an average price of $9.13, for a total value of $1,371,097.75. Following the transaction, the chief executive officer directly owned 1,474,719 shares of the company's stock, valued at approximately $13,464,184.47. The trade was a 9.24% 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 a total of 507,345 shares of company stock valued at $4,776,869 over the last quarter. Corporate insiders own 87.54% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Sequoia Financial Advisors LLC acquired a new stake in Asana in the 2nd quarter valued at about $88,000. Integrated Wealth Concepts LLC acquired a new position in shares of Asana in the 2nd quarter worth approximately $164,000. Squarepoint Ops LLC raised its holdings in shares of Asana by 108.3% in the 2nd quarter. Squarepoint Ops LLC now owns 888,160 shares of the company's stock worth $6,217,000 after purchasing an additional 461,858 shares in the last quarter. Allworth Financial LP raised its holdings in shares of Asana by 193.4% in the 2nd quarter. Allworth Financial LP now owns 13,195 shares of the company's stock worth $92,000 after purchasing an additional 8,698 shares in the last quarter. Finally, Corient Private Wealth LP acquired a new stake in Asana during the second quarter valued at approximately $451,000. 26.21% of the stock is owned by institutional investors and hedge funds.

Asana Company Profile

Asana, Inc develops cloud-based work management software that helps organizations coordinate projects, tasks and team workflows. Its platform is designed to improve collaboration, planning and visibility across departments, enabling users to assign work, set deadlines, track progress and manage priorities in one system.

Asana's products and features include project and task management, workflow automation, project portfolios, goals and reporting tools, team collaboration capabilities, and integrations with other business applications.

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