This Customer Engagement Software Stock Is Up 19%. Here's Why. -- Barrons.com

Dow Jones
Sep 05

By Mackenzie Tatananni

Braze stock surged in premarket trading Friday after the customer engagement platform posted a solid second quarter and boosted its financial guidance.

Adjusted earnings of 15 cents a share came in above analysts' calls for three cents a share, according to FactSet. Revenue surged 28% from the prior year to $180.1 million, topping the $171.6 million Wall Street had forecast.

The software maker also more than doubled its forecast for its full-year profit. Braze sees adjusted earnings in the range of 41 cents to 42 cents a share, compared with its previous outlook of 15 cents to 18 cents and above the 17 cents analysts were looking for. The company expects revenue between $717 million and $720 million, up from a prior range of $702 million to $706 million. Wall Street had anticipated $704.5 million.

Mizuho analysts noted Friday that Braze delivered a "strong beat and raise" in the latest quarter. "Operating margin of 3.4% exceeded consensus of 0.7% and should alleviate investor concerns on margin expansion," the team said. Mizuho reiterated an Outperform rating on Braze shares and raised its price target slightly to $45 from $40.

The stock soared 19% to $32.87 on Friday. Futures tracking the benchmark S&P 500 and tech-heavy Nasdaq Composite were up 0.2% and 0.5%, respectively.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

 

(END) Dow Jones Newswires

September 05, 2025 07:52 ET (11:52 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10