Selected stock price target news of the day - December 7th, 2023

By: Matthew Otto

Braze’s Fiscal Q3 2024: Growth Across Key Metrics

Braze has delivered financials in its fiscal third quarter of 2024, with a revenue of $124 million versus the consensus estimate of $117.29 million—a 33% surge compared to the preceding year. The company’s strategic focus on operational efficiency is evident in its non-GAAP gross margin, which witnessed an increase of 170 basis points year-over-year, reaching 71.4%. The global outreach of Braze is showcased by its expanded customer base, with a 17% YoY increase to over 2,000 customers. The large customer segment, characterized by those spending a minimum of $500,000 annually, experienced outstanding growth at 28% YoY, contributing 58% to the total Annual Recurring Revenue.

Braze’s financial resilience is further underscored by the fact that revenue generated outside the US accounted for 44% of the total revenue in the third quarter. The company’s commitment to cost optimization is reflected in its non-GAAP operating margin, which improved by over 1100 basis points compared to the third quarter of the previous year. Looking ahead, Braze projects a fourth-quarter revenue in the range of $124 million to $125 million, indicating a 26% YoY growth rate at the midpoint.

Analysts Bullish on Braze: Price Targets Raised

Needham analyst Scott Berg maintained a Buy rating and raised the price target from $60 to $70.
Barclays analyst Ryan Macwilliams reiterated an Overweight rating and increased the price target from $65 to $80
Piper Sandler analyst Brent Bracelin maintained an Overweight rating and upgraded the price target from $57 to $66.

Which Analyst has the best track record to show on BRZE?

Analyst David Hynes (CANACCORD) currently has the highest performing score on BRZE with 7/8 (87.5%) price target fulfillment ratio. His price targets carry an average of $8.31 (22.77%) potential upside. Braze stock price reaches these price targets on average within 95 days.

Chewy Guidance Concerns Amidst Macroeconomic Pressures

Chewy fiscal third-quarter results showed a revenue of $2.74 billion, marking an 8% increase from the previous year but falling at the lower end of Chewy’s guidance range and below the Street consensus of $2.75 billion. Despite exceeding profit expectations on an adjusted basis with 15 cents per share, compared to the anticipated loss of 6 cents per share, the real focus lies on the concerning guidance for the January quarter. Chewy projects sales between $2.78 billion and $2.8 billion, a 3% increase but falling short of the Street consensus at $2.93 billion. The company also revised its full-year revenue outlook to a range of $11.08 billion to $11.1 billion, down from the earlier forecast of $11.15 billion to $11.35 billion, citing ongoing macroeconomic pressures on the industry.

Analyst Ratings for Chewy Adjusts Amidst Challenges

Morgan Stanley’s Lauren Schenk maintained an Overweight rating and lowered the price target from $28 to $27.
JMP Securities analyst Nicholas Jones reiterated a Market Outperform rating and adjusted the price target from $43 to $28.
Raymond James analyst Rick Patel kept an Outperform rating and lowered the price target from $24 to $20.

Which Analyst has the best track record to show on CHWY?

Analyst Peter Keith (PIPER SANDLER) currently has the highest performing score on CHWY with 4/9 (44.44%) price target fulfillment ratio. His price targets carry an average of $18.83 (32.70%) potential upside. Chewy stock price reaches these price targets on average within 12 days.

Sprinklr’s Q3 Performance: Records Surges

Sprinklr has reported financial results for its third quarter ending October 31, 2023 with a total revenue of $186.3 million versus the consensus estimate of $180.42 million, marking an 18% year-over-year increase. Subscription revenue soared to $170.5 million, exhibiting a 22% year-over-year growth. The company’s commitment to operational excellence is evident in the positive trajectory of its net cash provided by operating activities, standing at $21.0 million, and free cash flow reaching $15.9 million in Q3.

Sprinklr’s financial outlook for the fourth fiscal quarter ending January 31, 2024, anticipates subscription revenue between $172.5 million and $174.5 million. A total revenue forecasted between $187.5 million and $189.5 million. Non-GAAP operating income is projected to range between $20.3 million and $22.3 million, and non-GAAP net income per share is estimated to be between $0.08 and $0.09, assuming 275 million basic weighted-average shares outstanding. For the full fiscal year ending January 31, 2024, Sprinklr anticipates subscription revenue between $664 million and $666 million, with total revenue projected between $725.5 million and $727.5 million. Non-GAAP operating income is expected to range between $80 million and $82 million, with non-GAAP net income per share estimated to be between $0.36 and $0.37, assuming 273 million basic weighted-average shares outstanding.

Analyst Adjusted Price Targets Amidst Market Dynamics

Cantor Fitzgerald’s Brett Knoblauch maintained an Overweight rating and lowered the price target from $21 to $16.
JMP Securities analyst Patrick Walravens continued Market Outperform rating and adjusted the price target from $24 to $22.
BTIG analyst Matt VanVliet downgraded from Buy to Neutral.

Which Analyst has the best track record to show on CXM?

Analyst Elizabeth Porter (MORGAN STANLEY) currently has the highest performing score on CXM with 3/5 (60%) price target fulfillment ratio. Her price targets carry an average of $1.64 (12.94%) potential upside. Sprinklr stock price reaches these price targets on average within 71 days.