Freshworks (NASDAQ:FRSH) Releases Quarterly Earnings Results, Misses Expectations By $0.10 EPS

Freshworks (NASDAQ:FRSH - Get Free Report) released its earnings results on Tuesday. The company reported ($0.02) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.08 by ($0.10), Zacks reports. Freshworks had a negative net margin of 14.80% and a negative return on equity of 8.57%. Freshworks updated its FY 2025 guidance to 0.520-0.540 EPS and its Q1 2025 guidance to 0.120-0.140 EPS.

Freshworks Stock Down 2.2 %

Shares of FRSH stock traded down $0.38 during trading hours on Friday, hitting $17.05. 3,844,448 shares of the company's stock traded hands, compared to its average volume of 3,932,087. The stock's 50 day simple moving average is $17.00 and its 200 day simple moving average is $14.13. The stock has a market cap of $5.16 billion, a PE ratio of -50.15 and a beta of 0.91. Freshworks has a 12 month low of $10.81 and a 12 month high of $21.61.

Insider Activity

In other Freshworks news, Director Barry L. Padgett sold 2,345 shares of Freshworks stock in a transaction on Tuesday, December 17th. The shares were sold at an average price of $17.30, for a total value of $40,568.50. Following the completion of the sale, the director now directly owns 26,957 shares of the company's stock, valued at approximately $466,356.10. The trade was a 8.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Zachary Nelson sold 8,442 shares of Freshworks stock in a transaction on Monday, February 3rd. The shares were sold at an average price of $18.30, for a total transaction of $154,488.60. Following the completion of the sale, the director now directly owns 24,187 shares of the company's stock, valued at approximately $442,622.10. This trade represents a 25.87 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 1,727,211 shares of company stock valued at $27,224,746. Insiders own 19.15% of the company's stock.

Wall Street Analyst Weigh In

FRSH has been the subject of several recent research reports. JMP Securities increased their price objective on Freshworks from $21.00 to $24.00 and gave the stock a "market outperform" rating in a report on Thursday, November 7th. Piper Sandler increased their target price on shares of Freshworks from $20.00 to $24.00 and gave the stock an "overweight" rating in a research report on Wednesday. StockNews.com raised Freshworks from a "hold" rating to a "buy" rating in a research report on Thursday. Barclays increased their target price on shares of Freshworks from $14.00 to $20.00 and gave the company an "equal weight" rating in a research note on Wednesday. Finally, Needham & Company LLC raised their price target on shares of Freshworks from $20.00 to $25.00 and gave the stock a "buy" rating in a research note on Wednesday. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and ten have assigned a buy rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $21.07.

Freshworks Company Profile

Freshworks Inc, a software development company, provides software-as-a-service products worldwide. It offers Freshworks Customer Service Suite, which provides automated, personalized self-service on various channels, including web, chat, mobile messaging, email, and social; Freshdesk, a ticketing-centric customer service solution; Freshsuccess, a customer success solution; and Freshchat that provides agents with a modern conversational experience to proactively engage customers across digital messaging channels.