Core Thesis - Freshworks Inc. presents a compelling growth story despite recent volatility, with a clear path toward profitability and strong fundamentals [2][5] Financial Performance - As of October 8th, Freshworks' share was trading at $11.18, with a forward P/E of 17.15 [1] - Non-GAAP operating income more than tripled year-over-year in Q2 2025, while GAAP operating losses shrank by 80% [2] - The company holds $926 million in cash and equivalents, forecasting GAAP profitability by 2026 [2] Analyst Sentiment - Analysts maintain a consensus "Buy" rating, with 12-month price targets ranging from $20.07 to $23.25, and some targets reaching $27.00 [3] - A key growth driver is the Freddy AI platform, generating over $20 million in ARR from more than 5,000 paying customers [3] Market Challenges - The stock recently dropped over 10% due to downgrades from major institutions, including a $13.00 price target from Wells Fargo [4] - Q2 2025 revenue grew 18% year-over-year, but full-year guidance projects a deceleration to 14–15% growth, contributing to near-term uncertainty [4] Investment Opportunity - Despite short-term pressures, the recent correction may represent an attractive entry point for investors, with accelerating profitability and successful enterprise expansion [5]