Freshworks Inc. (NASDAQ:FRSH) Receives Consensus Rating of “Moderate Buy” from Analysts

Shares of Freshworks Inc. (NASDAQ:FRSH) have received a consensus rating of “Moderate Buy” from the sixteen ratings firms that are covering the stock, MarketBeat Ratings reports. Nine analysts have rated the stock with a hold recommendation, six have issued a buy recommendation and one has given a strong buy recommendation to the company. The average 12-month price target among brokerages that have updated their coverage on the stock in the last year is $14.1667.

FRSH has been the subject of several recent analyst reports. Guggenheim began coverage on Freshworks in a research note on Wednesday, July 22nd. They set a “buy” rating and a $25.00 target price for the company. Wall Street Zen raised Freshworks from a “hold” rating to a “buy” rating in a research report on Saturday, August 8th. Zacks Research lowered Freshworks from a “strong-buy” rating to a “hold” rating in a report on Friday, July 10th. UBS Group increased their price objective on Freshworks from $11.00 to $14.00 and gave the company a “buy” rating in a research report on Wednesday, August 5th. Finally, Citigroup restated a “market outperform” rating on shares of Freshworks in a research note on Tuesday, June 2nd.

Freshworks Price Performance

Freshworks stock opened at $12.98 on Friday. Freshworks has a fifty-two week low of $6.79 and a fifty-two week high of $14.06. The firm has a fifty day moving average price of $10.82 and a two-hundred day moving average price of $9.29. The firm has a market cap of $3.39 billion, a price-to-earnings ratio of 20.28, a P/E/G ratio of 10.84 and a beta of 0.86.

Freshworks (NASDAQ:FRSH) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $0.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.13 by $0.04. The company had revenue of $237.38 million for the quarter, compared to the consensus estimate of $233.62 million. Freshworks had a return on equity of 5.52% and a net margin of 20.49%.The firm’s revenue was up 16.0% compared to the same quarter last year. During the same period last year, the business posted $0.18 earnings per share. Freshworks has set its FY 2026 guidance at 0.660-0.680 EPS and its Q3 2026 guidance at 0.180-0.180 EPS. As a group, sell-side analysts expect that Freshworks will post 0.04 earnings per share for the current year.

Insider Buying and Selling at Freshworks

In other news, CAO Philippa Lawrence sold 3,470 shares of the business’s stock in a transaction dated Monday, July 6th. The shares were sold at an average price of $10.13, for a total transaction of $35,151.10. Following the transaction, the chief accounting officer owned 456,144 shares in the company, valued at approximately $4,620,738.72. The trade was a 0.75% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through 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 stock in a transaction dated Thursday, July 2nd. The shares were sold at an average price of $10.44, for a total transaction of $69,091.92. Following the completion of the sale, the director owned 62,673 shares of the company’s stock, valued at approximately $654,306.12. The trade was a 9.55% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 27,236 shares of company stock valued at $270,331 in the last ninety days. Company insiders own 8.54% of the company’s stock.

Hedge Funds Weigh In On Freshworks

Several institutional investors and hedge funds have recently added to or reduced their stakes in FRSH. Nykredit A S acquired a new position in Freshworks in the 2nd quarter valued at approximately $28,000. Proficio Capital Partners LLC acquired a new stake in shares of Freshworks during the 2nd quarter worth approximately $261,000. Wellington Management Group LLP grew its holdings in shares of Freshworks by 9.7% during the 2nd quarter. Wellington Management Group LLP now owns 4,000,543 shares of the company’s stock worth $40,485,000 after purchasing an additional 353,714 shares in the last quarter. Archer Investment Corp bought a new stake in shares of Freshworks during the second quarter valued at approximately $374,000. Finally, Globeflex Capital L P bought a new stake in shares of Freshworks during the second quarter valued at approximately $620,000. 75.58% of the stock is currently owned by institutional investors.

About Freshworks

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.