ServiceTitan (NASDAQ:TTAN) Posts Earnings Results

ServiceTitan (NASDAQ:TTAN) released its quarterly earnings results on Thursday. The company reported $0.37 EPS for the quarter, topping analysts’ consensus estimates of $0.28 by $0.09, FiscalAI reports. ServiceTitan had a negative net margin of 16.64% and a negative return on equity of 6.86%. The company had revenue of $268.82 million for the quarter, compared to the consensus estimate of $256.65 billion. During the same period in the previous year, the firm earned $0.18 EPS. ServiceTitan’s revenue was up 24.6% on a year-over-year basis.

Here are the key takeaways from ServiceTitan’s conference call:

• ServiceTitan reported Q1 revenue growth of 25% to $268.8 million, with GTV up 23% and net dollar retention above 110%, signaling solid demand across its platform.
• The company highlighted strong early traction for Max, saying it more than doubled the number of locations on the product in Q1 and expects to double again in Q2. Management said fully ramped Max customers are already seeing meaningful workflow automation and higher funnel performance.
• Enterprise remains a major growth engine, with ServiceTitan surpassing 2,000 customers generating over $100,000 in annualized billings. That segment now represents more than 60% of annualized billings and is the company’s fastest-growing cohort.
• Profitability improved sharply, with operating margin rising to 15.2% from 7.5% a year ago and platform gross margin reaching 81.3%. Management also said full-year incremental operating margins should exceed its initial target of 25%.
• ServiceTitan slightly raised its outlook, guiding Q2 revenue to $284 million-$286 million and full-year FY2027 revenue to $1.13 billion-$1.14 billion. Management also reiterated that weather and business-day timing can materially affect quarterly GTV and usage trends.

ServiceTitan Trading Up 2.3%

NASDAQ:TTAN opened at $74.33 on Friday. The business’s fifty day moving average price is $62.95 and its 200 day moving average price is $78.04. The firm has a market capitalization of $7.08 billion, a price-to-earnings ratio of -43.21 and a beta of 0.13. ServiceTitan has a 1-year low of $54.17 and a 1-year high of $119.99.

ServiceTitan News Roundup

Here are the key news stories impacting ServiceTitan this week:

• Positive Sentiment: ServiceTitan beat Q1 expectations, posting adjusted EPS of $0.37 versus the $0.28 consensus and revenue of $268.8 million, ahead of estimates, while revenue rose 24.6% year over year. ServiceTitan earnings report and conference call
• Positive Sentiment: The company lifted its fiscal second-quarter and full-year revenue guidance, signaling management confidence in continued demand and execution. ServiceTitan Announces Fiscal First Quarter Financial Results
• Positive Sentiment: Coverage highlighting post-earnings trading said TTAN surged in after-hours activity as investors focused on the strong quarter and raised outlook. TTAN Stock Surges 14% After-Hours As ServiceTitan Delivers Strong Quarter, Lifts Guidance
• Neutral Sentiment: Investors are also watching for AI-related growth commentary, but that appears to be a secondary theme versus the earnings and guidance update. ServiceTitan heads into earnings spotlight as investors look for fresh AI growth signals
• Negative Sentiment: Despite the beat, ServiceTitan still reported a net loss and negative margins, so profitability remains a risk factor for the stock. ServiceTitan stock and fundamentals

Analysts Set New Price Targets

TTAN has been the topic of a number of recent analyst reports. Wells Fargo & Company dropped their price target on shares of ServiceTitan from $125.00 to $115.00 and set an “overweight” rating on the stock in a research report on Friday, March 13th. Piper Sandler reiterated an “overweight” rating on shares of ServiceTitan in a report on Thursday, May 28th. TD Cowen dropped their target price on shares of ServiceTitan from $135.00 to $110.00 and set a “buy” rating on the stock in a report on Tuesday, May 26th. Weiss Ratings reiterated a “sell (e+)” rating on shares of ServiceTitan in a report on Friday, April 24th. Finally, BMO Capital Markets dropped their target price on shares of ServiceTitan from $108.00 to $92.00 and set an “outperform” rating on the stock in a research report on Friday, March 13th. Fifteen research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, ServiceTitan currently has a consensus rating of “Moderate Buy” and an average target price of $108.47.

Insiders Place Their Bets

In related news, President Vahe Kuzoyan sold 3,220 shares of the stock in a transaction dated Wednesday, March 18th. The stock was sold at an average price of $69.86, for a total value of $224,949.20. Following the completion of the sale, the president directly owned 1 shares of the company’s stock, valued at approximately $69.86. This represents a 99.97% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO David Sherry sold 17,778 shares of the stock in a transaction dated Wednesday, March 18th. The stock was sold at an average price of $69.86, for a total value of $1,241,971.08. Following the completion of the sale, the chief financial officer directly owned 313,025 shares of the company’s stock, valued at approximately $21,867,926.50. This represents a 5.37% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 33,440 shares of company stock valued at $2,281,468 in the last 90 days. Insiders own 39.89% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Greenoaks Capital Partners LLC grew its position in ServiceTitan by 20.6% during the fourth quarter. Greenoaks Capital Partners LLC now owns 1,552,257 shares of the company’s stock valued at $165,315,000 after purchasing an additional 264,926 shares in the last quarter. Marshall Wace LLP grew its position in ServiceTitan by 112.4% during the third quarter. Marshall Wace LLP now owns 885,643 shares of the company’s stock valued at $89,299,000 after purchasing an additional 468,588 shares in the last quarter. Fuller & Thaler Asset Management Inc. purchased a new position in ServiceTitan during the fourth quarter valued at approximately $89,702,000. Janus Henderson Group PLC grew its position in ServiceTitan by 63.1% during the fourth quarter. Janus Henderson Group PLC now owns 772,198 shares of the company’s stock valued at $82,241,000 after purchasing an additional 298,774 shares in the last quarter. Finally, First Trust Advisors LP grew its position in ServiceTitan by 14.5% during the fourth quarter. First Trust Advisors LP now owns 768,152 shares of the company’s stock valued at $81,808,000 after purchasing an additional 97,269 shares in the last quarter.

About ServiceTitan

ServiceTitan, Inc (NASDAQ: TTAN) is a cloud-based software provider specializing in end-to-end business management solutions for residential and commercial trade contractors. The company’s platform integrates customer relationship management, scheduling and dispatch, mobile workforce management, invoicing, payments and reporting tools into a single suite. By automating key back-office processes, ServiceTitan helps field service businesses improve operational efficiency, enhance customer experience and drive revenue growth.

At the core of ServiceTitan’s offering is a mobile application that allows technicians to access job details, update work orders, capture signatures and process payments from the field.