Freshworks (NASDAQ:FRSH) Upgraded to “Strong-Buy” at Guggenheim

Freshworks (NASDAQ:FRSH) was upgraded by stock analysts at Guggenheim to a “strong-buy” rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

FRSH has been the topic of a number of other research reports. Citigroup restated a “market outperform” rating on shares of Freshworks in a research note on Tuesday, June 2nd. Wall Street Zen downgraded shares of Freshworks from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. Zacks Research cut shares of Freshworks from a “strong-buy” rating to a “hold” rating in a research note on Friday, July 10th. Morgan Stanley dropped their target price on shares of Freshworks from $15.00 to $13.00 and set an “equal weight” rating for the company in a report on Monday, May 11th. Finally, Weiss Ratings lowered Freshworks from a “sell (d+)” rating to a “sell (d)” rating in a research note on Thursday, May 7th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $13.25.

Freshworks Stock Performance

NASDAQ:FRSH opened at $9.77 on Wednesday. The stock has a 50-day simple moving average of $9.74 and a two-hundred day simple moving average of $9.21. Freshworks has a 52-week low of $6.79 and a 52-week high of $14.43. The firm has a market capitalization of $2.70 billion, a PE ratio of 15.76 and a beta of 0.88.

Freshworks (NASDAQ:FRSH) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $0.11 EPS for the quarter, hitting the consensus estimate of $0.11. Freshworks had a return on equity of 4.27% and a net margin of 20.69%.The firm had revenue of $228.63 million for the quarter, compared to the consensus estimate of $223.63 million. During the same quarter last year, the company earned $0.18 earnings per share. The business’s revenue for the quarter was up 16.5% compared to the same quarter last year. Freshworks has set its FY 2026 guidance at 0.610-0.630 EPS and its Q2 2026 guidance at 0.130-0.130 EPS. Equities analysts forecast that Freshworks will post -0.02 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CAO Philippa Lawrence sold 3,470 shares of the company’s stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $10.13, for a total transaction of $35,151.10. Following the sale, the chief accounting officer directly owned 456,144 shares of the company’s stock, valued at $4,620,738.72. This represents a 0.75% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Jennifer H. Taylor sold 6,618 shares of the company’s stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $10.44, for a total value of $69,091.92. Following the sale, the director directly owned 62,673 shares in the company, valued at $654,306.12. This trade represents a 9.55% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 27,236 shares of company stock worth $270,331. Corporate insiders own 8.54% of the company’s stock.

Institutional Investors Weigh In On Freshworks

Large investors have recently bought and sold shares of the business. Royal Bank of Canada lifted its position in Freshworks by 120.8% during the first quarter. Royal Bank of Canada now owns 21,388 shares of the company’s stock valued at $302,000 after purchasing an additional 11,703 shares during the last quarter. Amundi raised its position in shares of Freshworks by 1.3% during the 1st quarter. Amundi now owns 80,074 shares of the company’s stock valued at $1,049,000 after buying an additional 1,040 shares in the last quarter. Goldman Sachs Group Inc. raised its position in shares of Freshworks by 35.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 2,225,056 shares of the company’s stock valued at $31,396,000 after buying an additional 578,628 shares in the last quarter. Woodline Partners LP lifted its holdings in shares of Freshworks by 13.5% in the 1st quarter. Woodline Partners LP now owns 21,569 shares of the company’s stock valued at $304,000 after acquiring an additional 2,571 shares during the last quarter. Finally, Focus Partners Wealth lifted its holdings in shares of Freshworks by 20.2% in the 1st quarter. Focus Partners Wealth now owns 12,399 shares of the company’s stock valued at $175,000 after acquiring an additional 2,086 shares during the last quarter. Institutional investors own 75.58% of the company’s stock.

Freshworks Company Profile

Freshworks, Inc is a global provider of cloud-based customer engagement software designed to help businesses streamline customer support, sales, marketing, and IT service operations. The company’s integrated suite of solutions enables organizations of all sizes to deliver seamless experiences across multiple channels, including email, chat, phone, and social media. Freshworks’ platform is built on modern, user-friendly interfaces and offers native automation, AI-powered insights, and analytics to improve efficiency and customer satisfaction.

The company’s flagship product, Freshdesk, serves as a helpdesk solution for customer support teams, while Freshservice addresses IT service management needs.