Dalton Investments Inc. Buys 116,000 Shares of Freshworks Inc. $FRSH

Dalton Investments Inc. lifted its stake in Freshworks Inc. (NASDAQ:FRSH) by 96.4% in the third quarter, HoldingsChannel reports. The firm owned 236,292 shares of the company’s stock after purchasing an additional 116,000 shares during the period. Freshworks accounts for 1.9% of Dalton Investments Inc.’s holdings, making the stock its 9th biggest position. Dalton Investments Inc.’s holdings in Freshworks were worth $2,781,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors have also recently bought and sold shares of the company. Envestnet Asset Management Inc. boosted its holdings in shares of Freshworks by 34.1% in the second quarter. Envestnet Asset Management Inc. now owns 110,654 shares of the company’s stock worth $1,650,000 after buying an additional 28,152 shares during the period. Geode Capital Management LLC boosted its stake in Freshworks by 1.6% in the 2nd quarter. Geode Capital Management LLC now owns 4,856,163 shares of the company’s stock worth $72,414,000 after purchasing an additional 75,688 shares during the period. Nordea Investment Management AB purchased a new position in Freshworks during the 3rd quarter worth approximately $5,083,000. Pier 88 Investment Partners LLC raised its stake in Freshworks by 68.6% during the 2nd quarter. Pier 88 Investment Partners LLC now owns 80,680 shares of the company’s stock valued at $1,203,000 after purchasing an additional 32,830 shares during the period. Finally, Edgestream Partners L.P. lifted its holdings in shares of Freshworks by 744.6% in the second quarter. Edgestream Partners L.P. now owns 367,873 shares of the company’s stock valued at $5,485,000 after purchasing an additional 324,319 shares in the last quarter. Hedge funds and other institutional investors own 75.58% of the company’s stock.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the company. Cantor Fitzgerald lowered their price target on Freshworks from $15.00 to $12.00 and set an “overweight” rating on the stock in a report on Wednesday. Citigroup reaffirmed an “outperform” rating on shares of Freshworks in a research note on Wednesday. UBS Group set a $11.00 price target on shares of Freshworks in a research report on Wednesday. Wall Street Zen cut shares of Freshworks from a “strong-buy” rating to a “buy” rating in a report on Saturday, December 20th. Finally, Zacks Research downgraded shares of Freshworks from a “strong-buy” rating to a “hold” rating in a research report on Monday, January 12th. Eight investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $14.92.

Key Freshworks News

Here are the key news stories impacting Freshworks this week:

• Positive Sentiment: Q4 beat and growth targets — Freshworks reported $0.14 EPS (vs. $0.11 est.) and $222.7M revenue, +14.5% YoY, and provided FY26/Q1 EPS guidance and a plan to reach $1.3B ARR by 2028 driven by EX platform and AI initiatives. Q4 2025 Earnings Call Highlights
• Positive Sentiment: Longer-term growth narrative — management reiterated ARR and AI/employee‑experience (EX) strategy that could support durable revenue expansion if execution continues. ARR target and AI strategy
• Positive Sentiment: Analyst support remains from some firms — Needham reaffirmed a buy with a $15 PT, signalling continued conviction among parts of the sell‑side despite recent cuts. Needham rating reaffirmed
• Positive Sentiment: Unusual options flow — a near‑doubling in call volume (4,648 calls) suggests traders are placing bullish/leveraged bets, which can precede volatility or a directional reversal if fundamentals hold.
• Neutral Sentiment: Short‑interest reporting anomaly — recent feeds show short interest at “0” with NaN changes, likely a data issue rather than a true indicator of short selling pressure.
• Neutral Sentiment: Elevated trading volume and volatility — intraday volume has been well above average, reflecting heavy positioning after the print and contributing to larger price moves.
• Negative Sentiment: Multiple price‑target cuts — Citigroup/JMP, Wells Fargo and Cantor lowered targets (examples: JMP $27→$16, Wells Fargo $13→$10, Cantor $15→$12), which compresses near‑term sentiment even if ratings remain mixed. Analyst price target cuts
• Negative Sentiment: Negative headlines and analyst re‑ratings — coverage describing the stock as “nosediving” and discussion of a shifting investment thesis has likely amplified selling pressure despite the quarter’s beat. Why Freshworks stock is nosediving

Freshworks Stock Performance

Shares of NASDAQ FRSH opened at $7.04 on Friday. The business has a 50 day simple moving average of $11.46 and a 200 day simple moving average of $11.99. Freshworks Inc. has a 52 week low of $6.79 and a 52 week high of $18.17. The stock has a market cap of $1.99 billion, a price-to-earnings ratio of 11.00 and a beta of 0.89.

Freshworks (NASDAQ:FRSH) last posted its earnings results on Tuesday, February 10th. The company reported $0.14 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.03. The firm had revenue of $222.74 million during the quarter, compared to analysts’ expectations of $218.76 million. Freshworks had a net margin of 21.90% and a return on equity of 4.77%. The company’s revenue was up 14.5% compared to the same quarter last year. During the same period in the previous year, the company earned $0.14 earnings per share. Freshworks has set its Q1 2026 guidance at 0.100-0.120 EPS and its FY 2026 guidance at 0.550-0.570 EPS. On average, analysts predict that Freshworks Inc. will post -0.19 EPS for the current year.

Insiders Place Their Bets

In other news, CAO Philippa Lawrence sold 5,846 shares of the company’s stock in a transaction dated Tuesday, December 2nd. The stock was sold at an average price of $12.06, for a total transaction of $70,502.76. Following the completion of the sale, the chief accounting officer owned 392,711 shares in the company, valued at approximately $4,736,094.66. This represents a 1.47% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Mika Yamamoto sold 15,012 shares of the stock in a transaction dated Friday, December 5th. The shares were sold at an average price of $13.00, for a total value of $195,156.00. Following the transaction, the insider directly owned 490,350 shares in the company, valued at approximately $6,374,550. This represents a 2.97% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 22,267 shares of company stock valued at $282,301 over the last quarter. 11.17% of the stock is currently owned by corporate insiders.

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.