Braze Analysts Slash Their Forecasts After Q1 Earnings

Core Insights - Braze, Inc. reported better-than-expected earnings for Q1, with earnings of 7 cents per share, surpassing the analyst consensus estimate of 5 cents per share [1] - The company achieved quarterly sales of $162.06 million, exceeding the analyst consensus estimate of $158.66 million [1] Financial Guidance - Braze lowered its FY2026 adjusted EPS guidance from 31 cents to 35 cents, while raising its FY2026 sales outlook from a range of $686 million-$691 million to $702 million-$706 million [2] Leadership and Growth - CEO Bill Magnuson expressed optimism about the company's strong start in fiscal year 2026, highlighting revenue growth, profitability, and free cash flow [3] - Ed McDonnell will join Braze in July to lead global revenue operations, bringing a strong track record in high-growth public SaaS businesses [3] Stock Performance - Following the earnings announcement, Braze shares dipped 12.6% to trade at $31.50 [3] Analyst Ratings and Price Targets - Stephens & Co. analyst Brett Huff maintained an Overweight rating on Braze, lowering the price target from $51 to $41 [9] - UBS analyst Taylor McGinnis maintained a Buy rating, cutting the price target from $51 to $48 [9] - JMP Securities analyst Patrick Walravens reiterated a Market Outperform rating, maintaining a price target of $68 [9]