Braze (NASDAQ:BRZE) Shares Down 6.4% – Should You Sell?

Braze, Inc. (NASDAQ:BRZE) shares were down 6.4% on Wednesday . The company traded as low as $27.20 and last traded at $27.28. Approximately 1,530,956 shares were traded during mid-day trading, a decline of 13% from the average daily volume of 1,750,852 shares. The stock had previously closed at $29.14.

Wall Street Analyst Weigh In

Several research firms recently commented on BRZE. Barclays increased their price target on Braze from $39.00 to $45.00 and gave the company an “overweight” rating in a report on Wednesday, December 10th. Needham & Company LLC restated a “buy” rating and issued a $50.00 target price on shares of Braze in a report on Wednesday. Weiss Ratings reiterated a “sell (d-)” rating on shares of Braze in a report on Monday, December 29th. Oppenheimer reissued an “outperform” rating and set a $40.00 price target on shares of Braze in a research report on Wednesday, December 10th. Finally, Wells Fargo & Company raised their price objective on shares of Braze from $40.00 to $45.00 and gave the stock an “overweight” rating in a research report on Wednesday, December 10th. One investment analyst has rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $46.95.

Braze Stock Performance

The stock has a market capitalization of $2.58 billion, a price-to-earnings ratio of -20.94 and a beta of 1.08. The business has a 50-day moving average of $30.91 and a 200-day moving average of $29.09.

Braze (NASDAQ:BRZE) last posted its earnings results on Tuesday, December 9th. The company reported $0.06 EPS for the quarter, meeting analysts’ consensus estimates of $0.06. Braze had a negative net margin of 16.85% and a negative return on equity of 17.87%. The company had revenue of $190.84 million for the quarter, compared to analysts’ expectations of $198.25 million. During the same quarter in the prior year, the company posted $0.02 earnings per share. Braze’s revenue for the quarter was up 25.5% compared to the same quarter last year. Braze has set its FY 2026 guidance at 0.420-0.430 EPS and its Q4 2026 guidance at 0.130-0.140 EPS. Equities analysts predict that Braze, Inc. will post -0.98 earnings per share for the current fiscal year.

Insider Activity

In other news, General Counsel Susan Wiseman sold 5,474 shares of the firm’s stock in a transaction on Tuesday, November 18th. The stock was sold at an average price of $26.64, for a total transaction of $145,827.36. Following the completion of the transaction, the general counsel directly owned 224,250 shares in the company, valued at $5,974,020. This trade represents a 2.38% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Astha Malik sold 14,322 shares of Braze stock in a transaction on Tuesday, November 18th. The shares were sold at an average price of $26.64, for a total value of $381,538.08. Following the completion of the sale, the insider directly owned 219,338 shares of the company’s stock, valued at $5,843,164.32. The trade was a 6.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 69,923 shares of company stock worth $1,917,418 in the last three months. 18.20% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Braze

Hedge funds and other institutional investors have recently bought and sold shares of the company. SBI Securities Co. Ltd. grew its position in Braze by 173.3% in the 2nd quarter. SBI Securities Co. Ltd. now owns 1,372 shares of the company’s stock valued at $39,000 after acquiring an additional 870 shares in the last quarter. Osaic Holdings Inc. boosted its stake in shares of Braze by 821.1% in the second quarter. Osaic Holdings Inc. now owns 1,575 shares of the company’s stock valued at $44,000 after purchasing an additional 1,404 shares during the period. Quarry LP acquired a new position in shares of Braze in the third quarter valued at approximately $46,000. Clearstead Advisors LLC increased its stake in Braze by 58.2% during the 3rd quarter. Clearstead Advisors LLC now owns 1,685 shares of the company’s stock worth $48,000 after buying an additional 620 shares during the period. Finally, Covestor Ltd increased its stake in Braze by 35.7% during the 3rd quarter. Covestor Ltd now owns 2,894 shares of the company’s stock worth $82,000 after buying an additional 761 shares during the period. 90.47% of the stock is currently owned by hedge funds and other institutional investors.

Braze Company Profile

Braze, Inc is a publicly traded software company (NASDAQ: BRZE) that offers a customer engagement platform designed to help brands build personalized relationships with their users. Founded in 2011 as Appboy by Bill Magnuson, Jon Hyman and Mark Ghermezian, the company adopted the Braze name in 2017 to underscore its focus on fostering strong connections between businesses and consumers. Its cloud-based platform consolidates messaging channels including push notifications, in-app messages, email and SMS, enabling companies to deliver timely, context-driven communications at scale.

The core functionality of Braze’s platform centers on data-driven segmentation, customer journey orchestration and real-time analytics.