Customer engagement platform Braze (NASDAQ: BRZE) will be reporting earnings this Thursday after market close. Here’s what investors should know.
Braze beat analysts’ revenue expectations by 2.2% last quarter, reporting revenues of $162.1 million, up 19.6% year on year. It was a slower quarter for the company, with full-year EPS guidance missing analysts’ expectations significantly and EPS guidance for next quarter missing analysts’ expectations significantly. It added 46 customers to reach a total of 2,342.
Is Braze a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Braze’s revenue to grow 17.9% year on year to $171.6 million, slowing from the 26.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.03 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Braze has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 3.8% on average.
Looking at Braze’s peers in the sales and marketing software segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Upland Software’s revenues decreased 23% year on year, meeting analysts’ expectations, and Sprout Social reported revenues up 12.5%, topping estimates by 0.8%. Upland Software traded up 4.9% following the results while Sprout Social was down 7.9%.
Read our full analysis of Upland Software’s results here and Sprout Social’s results here.
Investors in the sales and marketing software segment have had steady hands going into earnings, with share prices up 1.5% on average over the last month. Braze is up 1.3% during the same time and is heading into earnings with an average analyst price target of $44 (compared to the current share price of $27.27).
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