Freshworks (NASDAQ:FRSH) Stock Price Down 5% on Analyst Downgrade

Freshworks Inc. (NASDAQ:FRSH) fell 5% on Wednesday after Cantor Fitzgerald lowered their price target on the stock from $19.00 to $18.00. Cantor Fitzgerald currently has an overweight rating on the stock. Freshworks traded as low as $12.51 and last traded at $12.61. 2,367,627 shares were traded during mid-day trading, a decline of 10% from the average session volume of 2,627,097 shares. The stock had previously closed at $13.28.

A number of other brokerages have also weighed in on FRSH. Canaccord Genuity Group dropped their price objective on Freshworks from $20.00 to $17.00 and set a “buy” rating on the stock in a report on Wednesday, July 10th. Robert W. Baird downgraded shares of Freshworks from an “outperform” rating to a “neutral” rating and lowered their price target for the stock from $28.00 to $16.00 in a report on Thursday, May 2nd. Barclays decreased their price target on Freshworks from $20.00 to $15.00 and set an “equal weight” rating on the stock in a research note on Friday, May 3rd. Piper Sandler dropped their price objective on Freshworks from $22.00 to $17.00 and set an “overweight” rating for the company in a report on Friday, July 12th. Finally, Oppenheimer downgraded shares of Freshworks from an “outperform” rating to a “market perform” rating in a research note on Thursday, May 2nd. Eight equities research analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, Freshworks currently has a consensus rating of “Moderate Buy” and a consensus price target of $20.88.

Insider Activity

In other Freshworks news, Director Zachary Nelson sold 8,442 shares of the business’s stock in a transaction dated Monday, June 3rd. The shares were sold at an average price of $12.75, for a total value of $107,635.50. Following the completion of the sale, the director now owns 16,535 shares of the company’s stock, valued at approximately $210,821.25. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. In other news, Director Zachary Nelson sold 8,442 shares of the business’s stock in a transaction dated Monday, June 3rd. The stock was sold at an average price of $12.75, for a total value of $107,635.50. Following the transaction, the director now directly owns 16,535 shares of the company’s stock, valued at approximately $210,821.25. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Jennifer H. Taylor sold 7,028 shares of the business’s stock in a transaction that occurred on Friday, May 10th. The stock was sold at an average price of $13.74, for a total value of $96,564.72. Following the sale, the director now directly owns 19,991 shares of the company’s stock, valued at $274,676.34. The disclosure for this sale can be found here. In the last 90 days, insiders sold 34,296 shares of company stock valued at $443,630. 19.15% of the stock is owned by insiders.

Institutional Trading of Freshworks

A number of institutional investors have recently added to or reduced their stakes in FRSH. CWM LLC boosted its holdings in Freshworks by 554.5% during the 2nd quarter. CWM LLC now owns 3,397 shares of the company’s stock valued at $43,000 after acquiring an additional 2,878 shares during the period. Advisors Asset Management Inc. lifted its holdings in Freshworks by 34.2% during the first quarter. Advisors Asset Management Inc. now owns 2,971 shares of the company’s stock valued at $54,000 after purchasing an additional 757 shares in the last quarter. International Assets Investment Management LLC purchased a new position in Freshworks during the 2nd quarter valued at approximately $58,000. EntryPoint Capital LLC purchased a new stake in Freshworks during the 1st quarter valued at $82,000. Finally, Hantz Financial Services Inc. purchased a new stake in Freshworks in the second quarter worth $136,000. Hedge funds and other institutional investors own 75.58% of the company’s stock.

Freshworks Stock Performance

The firm’s fifty day moving average price is $12.87 and its 200 day moving average price is $16.73. The firm has a market cap of $3.76 billion, a P/E ratio of -31.23 and a beta of 0.74.

Freshworks (NASDAQ:FRSH) last released its earnings results on Wednesday, May 1st. The company reported ($0.07) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.02. The business had revenue of $165.14 million for the quarter, compared to analyst estimates of $163.53 million. Freshworks had a negative net margin of 18.93% and a negative return on equity of 10.66%. As a group, analysts expect that Freshworks Inc. will post -0.34 earnings per share for the current fiscal year.

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.