Braze (NASDAQ:BRZE) Shares Climb 4.7% – Should You Buy?

Braze, Inc. (NASDAQ:BRZE) shares shot up 4.7% on Wednesday. The stock traded as high as $27.14 and last traded at $27.5760. 359,254 shares changed hands during mid-day trading, a decline of 88% from the average session volume of 2,888,742 shares. The stock had previously closed at $26.34.

Wall Street Analyst Weigh In

BRZE has been the subject of a number of research reports. JPMorgan Chase & Co. cut their target price on shares of Braze from $35.00 to $34.00 and set an “overweight” rating for the company in a research report on Wednesday, September 9th. BTIG Research reissued a “buy” rating and issued a $35.00 price target on shares of Braze in a research report on Thursday, October 1st. Barclays upped their price target on shares of Braze from $31.00 to $38.00 and gave the company an “overweight” rating in a research note on Wednesday, September 2nd. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $38.00 price objective on shares of Braze in a report on Wednesday, September 30th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of Braze in a research note on Friday, October 2nd. Nineteen investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $38.21.

Braze Price Performance

The stock has a fifty day simple moving average of $27.85 and a two-hundred day simple moving average of $24.55. The firm has a market cap of $3.23 billion, a PE ratio of -27.63 and a beta of 0.91. The company has a current ratio of 1.27, a quick ratio of 1.27 and a debt-to-equity ratio of 0.02.

Braze (NASDAQ:BRZE) last released its quarterly earnings data on Tuesday, September 8th. The company reported $0.19 EPS for the quarter, beating analysts’ consensus estimates of $0.16 by $0.03. The company had revenue of $227.23 million during the quarter, compared to analyst estimates of $220.27 million. Braze had a negative net margin of 13.55% and a negative return on equity of 16.11%. Braze’s revenue was up 26.2% compared to the same quarter last year. During the same period last year, the business earned $0.15 earnings per share. Braze has set its FY 2027 guidance at 0.640-0.650 EPS and its Q3 2027 guidance at 0.130-0.140 EPS. As a group, sell-side analysts expect that Braze, Inc. will post -0.7 EPS for the current fiscal year.

Insiders Place Their Bets

In other Braze news, CRO Edward M. Mcdonnell sold 29,732 shares of Braze stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $31.38, for a total transaction of $932,990.16. Following the completion of the sale, the executive directly owned 409,630 shares in the company, valued at $12,854,189.40. The trade was a 6.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Astha Malik sold 33,656 shares of the business’s stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $27.65, for a total transaction of $930,588.40. Following the completion of the transaction, the insider directly owned 278,138 shares of the company’s stock, valued at approximately $7,690,515.70. This represents a 10.79% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 203,568 shares of company stock worth $6,096,461 in the last ninety days. 12.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in BRZE. Kettle Hill Capital Management LLC purchased a new position in Braze in the 4th quarter worth $25,639,000. Dimensional Fund Advisors LP purchased a new stake in Braze during the first quarter valued at about $14,294,000. Bank of New York Mellon Corp purchased a new stake in Braze during the second quarter valued at about $11,814,000. The Manufacturers Life Insurance Company grew its stake in shares of Braze by 30.4% during the first quarter. The Manufacturers Life Insurance Company now owns 1,885,577 shares of the company’s stock valued at $44,518,000 after buying an additional 439,513 shares during the last quarter. Finally, Wellington Management Group LLP purchased a new position in shares of Braze in the second quarter worth about $7,847,000. 90.47% of the stock is currently owned by hedge funds and other institutional investors.

Braze Company Profile

Braze, Inc is a customer engagement software company that helps businesses build and manage personalized interactions with consumers. Its cloud-based platform enables organizations to collect and analyze customer data, create audience segments, and deliver marketing messages across multiple channels.

The Braze platform supports communication through mobile and web applications, email, SMS, messaging services, and other digital channels. Its offerings include campaign orchestration, customer journey management, in-app and browser messaging, personalization, analytics, experimentation, and artificial intelligence tools designed to help companies improve customer retention and engagement.

The company was founded in 2011 as Appboy by Bill Magnuson, Mark Ghermezian, and Jon Hyman, and later adopted the Braze name.