Braze, Inc. (BRZE)
NASDAQInformation TechnologySoftware - ApplicationSnapshot 2026-09-09
$23.73-21.71%
Close 2026-09-09 · 1-day change
NASDAQInformation TechnologySoftware - ApplicationSnapshot 2026-09-09
Intact: The reason to own it still holds.
Braze grows revenue about 20% a year to nearly $900M in 2027. Profit rises with operating income near $70M. Cash from operations improves to $28M. The company leads in customer engagement software.
Braze faces pressure from soft guidance and elevated valuation. Profit margins remain thin and cash flow could falter. Competition may slow growth below expectations.
The price is about 4% above our fair value near $23, reflecting roughly 20% revenue growth. Our fair value is 29% below the Street median, showing more cautious expectations than consensus.
Breaks if: cash flow falls below $28M in 2027-Q1
Breaks if: operating income falls below $70M in fiscal 2027
Breaks if: revenue falls below $895M in fiscal 2027
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a speculative growth opportunity. The company is currently loss-making but is focused on improving revenue and operating income, which could enhance its long-term outlook.
The current valuation reflects a justified stance, with a low expectations gap indicating that the market has not fully priced in the potential for recovery. However, it trades at a premium compared to peers, suggesting that some growth is already anticipated.
Management is on track with its goals, including increasing revenue guidance and improving cash flow. However, recent financial performance has been weak, and the company has a history of earnings misses, which adds to the risk.
The long-term thesis hinges on whether management can continue to deliver on its growth targets and improve profitability. Additionally, broader market conditions, such as potential interest rate cuts and performance from sector leaders, will also play a crucial role.
The most important moves since the prior daily snapshot.
Company momentum fell by 35.2 points (from 65.8 to 30.6).
Company quality rose by 7.5 points (from 38.0 to 45.5).
Mixed, the news cuts both ways. Braze raised its full-year revenue expectations to $910M-$913M. This reflects strong bookings and a new strategic collaboration with AWS. However, the company also issued third-quarter EPS guidance that fell short of estimates. This has raised concerns about potential revenue growth issues, leading to a 10% stock drop.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Over the next 1 to 3 years, BRZE's prospects depend on its ability to execute on its commitments and navigate external market factors. Not investment advice.