Freshworks (NASDAQ:FRSH) Upgraded to Strong-Buy at Guggenheim

Guggenheim upgraded shares of Freshworks (NASDAQ:FRSH) to a strong-buy rating in a research note published on Wednesday,Zacks.com reports.

Other research analysts also recently issued reports about the company. Weiss Ratings downgraded Freshworks from a “sell (d+)” rating to a “sell (d)” rating in a research note on Thursday, May 7th. Zacks Research cut Freshworks from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 10th. Morgan Stanley lowered their price target on Freshworks from $15.00 to $13.00 and set an “equal weight” rating on the stock in a report on Monday, May 11th. Citigroup reissued a “market outperform” rating on shares of Freshworks in a research report on Tuesday, June 2nd. Finally, Wall Street Zen cut shares of Freshworks from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $13.25.

Freshworks Price Performance

Freshworks stock opened at $9.77 on Wednesday. The company has a market capitalization of $2.70 billion, a price-to-earnings ratio of 15.76 and a beta of 0.88. Freshworks has a one year low of $6.79 and a one year high of $14.43. The company’s fifty day moving average price is $9.74 and its two-hundred day moving average price is $9.21.

Freshworks (NASDAQ:FRSH) last posted its earnings results on Tuesday, May 5th. The company reported $0.11 earnings per share for the quarter, meeting the consensus estimate of $0.11. The company had revenue of $228.63 million for the quarter, compared to analyst estimates of $223.63 million. Freshworks had a return on equity of 4.27% and a net margin of 20.69%.The business’s revenue was up 16.5% compared to the same quarter last year. During the same period last year, the company earned $0.18 earnings per share. Freshworks has set its FY 2026 guidance at 0.610-0.630 EPS and its Q2 2026 guidance at 0.130-0.130 EPS. As a group, sell-side analysts anticipate that Freshworks will post -0.02 earnings per share for the current year.

Insider Transactions at Freshworks

In other Freshworks news, Director Barry L. Padgett sold 6,618 shares of the firm’s stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $10.49, for a total value of $69,422.82. Following the sale, the director owned 47,270 shares of the company’s stock, valued at $495,862.30. This trade represents a 12.28% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Jennifer H. Taylor sold 6,618 shares of Freshworks stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $10.44, for a total value of $69,091.92. Following the completion of the transaction, the director directly owned 62,673 shares in the company, valued at approximately $654,306.12. This represents a 9.55% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 27,236 shares of company stock worth $270,331. Company insiders own 8.54% of the company’s stock.

Institutional Investors Weigh In On Freshworks

Hedge funds have recently modified their holdings of the business. Handelsbanken Fonder AB grew its stake in shares of Freshworks by 38.2% in the second quarter. Handelsbanken Fonder AB now owns 60,000 shares of the company’s stock worth $607,000 after acquiring an additional 16,600 shares during the last quarter. Hennion & Walsh Asset Management Inc. acquired a new position in Freshworks during the 2nd quarter valued at $228,000. Assenagon Asset Management S.A. acquired a new position in Freshworks during the 2nd quarter valued at $2,565,000. Pacer Advisors Inc. bought a new stake in Freshworks in the 1st quarter valued at $8,561,000. Finally, Optiver Holding B.V. boosted its holdings in Freshworks by 277.1% in the 1st quarter. Optiver Holding B.V. now owns 6,211 shares of the company’s stock valued at $50,000 after purchasing an additional 4,564 shares during the period. 75.58% of the stock is 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.