Financial Performance - Braze's quarterly revenue run rate is $648 million [3] - Braze experienced a year-over-year revenue growth of 19.6% in Q1'26 [4, 14] - Subscription revenue accounted for 96% of the total revenue [4] - GAAP net loss was $36 million [4] - Q1'26 non-GAAP gross margin was 69.3% [17] - Free cash flow for Q1'26 was $22.9 million [11, 25] Customer Metrics - Braze has 2,342 customers across over 75 countries [4] - Dollar-based net retention rate was 109% [4, 19] - Year-over-year customer growth was 11% [23] - Year-over-year growth of customers with over $500K ARR was 24% [23] Future Outlook (Guidance) - Braze projects Q2'26 revenue between $171 million and $172 million [30] - Braze anticipates full fiscal year 2026 revenue between $702 million and $706 million [30]

Braze, Inc. (BRZE) closed the last trading session at $34.73, gaining 11.2% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $50.16 indicates a 44.4% upside potential.The mean estimate comprises 19 short-term price targets with a standard deviation of $9.15. While the lowest estimate of $38 indicates a 9.4% increase from the current price level, the most optimistic analyst expects t ...

Group 1 - Shares of Braze, Inc. (BRZE) have increased by 10.8% over the past four weeks, closing at $33.66, with a mean price target of $51.37 indicating a potential upside of 52.6% [1] - The mean estimate consists of 19 short-term price targets with a standard deviation of $10.18, where the lowest estimate is $38 (12.9% increase) and the highest is $75 (122.8% increase) [2] - Analysts show strong agreement in revising earnings estimates higher, which correlates with potential stock price movements [11][12] Group 2 - The Zacks Consensus Estimate for the current year has risen by 0.7% over the past month, with two estimates increasing and one decreasing [12] - BRZE holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [13] - While the consensus price target may not be a reliable indicator of the stock's potential gain, it suggests a positive direction for price movement [13]

Group 1 - The current market focus is on the depth of the recession and the timeline for stocks to return to growth mode [1] - Recent fluctuations in stock prices have been influenced by a series of tariffs and reprieves [1] - Gary Alexander has extensive experience in technology sectors, both on Wall Street and in Silicon Valley, which informs his insights into current industry trends [1]

Core Insights - Braze Inc. is a marketing and customer data management firm that provides tools for companies to effectively engage with customers through data analysis and management [1][2] - The company has received significant attention from analysts, with 20 out of 21 firms rating its stock as a Buy and a consensus price target of $53, representing a potential upside of over 48% from current levels [2] Group 1: Acquisition and Integration - Braze announced the acquisition of AI-decisioning company OfferFit for $325 million, aimed at enhancing its data analysis capabilities and improving customer messaging relevance [3][4] - The acquisition is expected to modestly dilute operating income margins in the short term, but the long-term benefits are anticipated to outweigh the costs, particularly in enhancing ROI for customers [4] Group 2: Financial Performance - In the final quarter of fiscal 2025, Braze reported a 22% year-over-year revenue increase and achieved net income profitability for the third consecutive quarter, generating approximately $15 million in free cash flow [5][6] - The earnings per share (EPS) of 12 cents exceeded analyst expectations of 5 cents, leading to increased optimism among analysts and subsequent price target adjustments for BRZE shares [5][6] Group 3: Future Outlook - Braze's CEO highlighted a promising outlook with a projected 17% year-over-year revenue growth, even excluding the impact of the OfferFit acquisition, and a 12% increase in total customers [7][8] - The company is diversifying its customer base geographically and across industries, with expectations of positive operating income and net income in the upcoming period [8] Group 4: Market Position and Valuation - Despite a year-to-date decline of over 16% in share price, Braze's price-to-sales ratio stands at 6.3, which may present a compelling investment opportunity for potential investors [9] - Analysts suggest that even with the current dip in share price, there is potential for capital appreciation as shares may reach estimated price points in the future [9]

Braze, Inc. (BRZE) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Since a changing earn ...

I wrote about Braze, Inc. (NASDAQ: BRZE ) previously with a buy rating as I was positive about the business growth prospect, supported by strong underlying growth drivers. After looking at the latest 4Q25 results, I am Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other ...

Financial Position - As of January 31, 2025, the company had cash, cash equivalents, and marketable securities totaling $514.0 million, with $430.5 million invested in U.S. government securities, foreign securities, and corporate debt securities [358]. - The company’s revenue is primarily denominated in U.S. dollars, with only sales in Japan denominated in Yen, minimizing significant foreign currency risk [361]. - The company has not engaged in hedging of foreign currency transactions but may consider it in the future [362]. - The company’s market risk exposure is primarily due to fluctuations in interest rates, with a hypothetical 10% change in interest rates not expected to materially impact consolidated financial statements [359]. Employee Relations - The company has not experienced any work stoppages and considers its relations with employees to be good, with a total of 1,699 full-time employees as of January 31, 2025 [95]. Social Responsibility - The company established its Social Impact Department in 2021, which includes the Braze for Impact Fund and various corporate social responsibility initiatives [88]. - The company is a member of the Pledge 1% movement, reserving up to 964,647 shares of Class A common stock for donation to fund social impact initiatives through 2031 [89]. - The company maintains an ESG reporting function, including an annual greenhouse gas emissions audit and sustainability commitments [93]. Economic Factors - The company does not believe inflation has materially affected its business, but acknowledges potential risks if costs become subject to inflationary pressures [357]. Corporate Culture - The company’s culture and core values are designed to foster a mission-driven environment that delivers tangible financial and operational benefits [86].

Core Insights - Braze's fiscal 2025 fourth-quarter results significantly exceeded analysts' expectations, leading to a notable increase in stock price [1] - The company provided strong guidance for fiscal 2026, further boosting investor confidence [1] Financial Performance - Braze reported revenue of $160.4 million for the quarter, a nearly 23% increase year-over-year, surpassing the consensus estimate of $155.7 million [2] - The non-GAAP earnings per share were $0.12, a substantial improvement from a loss of $0.04 in the previous year, and well above the consensus estimate of $0.05 [3] - The company achieved a non-GAAP gross profit margin of 69.9% by the end of the fiscal year [3] Customer Growth - Braze ended fiscal 2025 with 2,296 customers, marking a 22% increase from the previous year [4] - The number of large customers contributing annual recurring revenue of $500,000 or more rose from 202 to 247 [4] Strategic Developments - The CEO highlighted fiscal 2025 as a milestone year, emphasizing customer growth and advancements in AI and machine learning [5] - Free cash flow improved from a loss of $3.5 million in the previous year to $15.2 million [5] Future Outlook - Management projects sales for fiscal 2026 to be between $686 million and $691 million, indicating a 16% increase at the midpoint [6] - The positive fourth-quarter results and optimistic guidance suggest a promising trajectory for the company [6]

Cloud stock Braze Inc (NASDAQ:BRZE) is defying the broad market selloff today, up 10.7% at $40.64 at last glance, after the company beat top- and bottom-line estimate in the fourth quarter and issued an upbeat full-year earnings forecast. Citigroup trimmed its price target by $1 to $50, citing a "conservative growth outlook," though several other analysts chimed in with price-target hikes, including Wells Fargo to $55 from $50. Today's pop has Braze stock shooting past its 40-day moving average, which rejec ...