Braze (NASDAQ:BRZE) Stock Dropped to Hold by Barclays

Posted by Francis Steltz on Oct 23rd, 2026

Braze (NASDAQ:BRZE – Get Free Report) was downgraded by research analysts at Barclays from a “strong-buy” rating to a “hold” rating in a report released on Tuesday, Zacks reports.

Several other research analysts have also recently issued reports on the company. Canaccord Genuity Group set a $47.50 target price on Braze in a research report on Tuesday. Citigroup lowered shares of Braze from a “buy” rating to a “neutral” rating and reduced their price target for the company from $48.00 to $47.50 in a research report on Wednesday. BTIG Research cut shares of Braze from a “buy” rating to a “neutral” rating in a research note on Tuesday. Wells Fargo & Company cut shares of Braze from an “overweight” rating to an “equal weight” rating and increased their price objective for the stock from $45.00 to $47.50 in a research note on Tuesday. Finally, Weiss Ratings raised shares of Braze from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday. Five investment analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $43.95.

Read Our Latest Research Report on Braze

Braze Trading Up 0.4%

Shares of BRZE stock opened at $45.86 on Tuesday. Braze has a 12-month low of $15.26 and a 12-month high of $45.95. The company has a current ratio of 1.27, a quick ratio of 1.27 and a debt-to-equity ratio of 0.02. The firm’s 50 day moving average is $29.30 and its 200 day moving average is $25.39. The stock has a market capitalization of $5.21 billion, a P/E ratio of -44.52 and a beta of 0.91.

Braze (NASDAQ:BRZE – Get Free Report) last posted its earnings results on Tuesday, September 8th. The company reported $0.19 EPS for the quarter, topping analysts’ consensus estimates of $0.16 by $0.03. The business had revenue of $227.23 million during the quarter, compared to the consensus estimate of $220.27 million. Braze had a negative net margin of 13.55% and a negative return on equity of 16.11%. The firm’s revenue was up 26.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.15 EPS. Braze has set its FY 2027 guidance at 0.640-0.650 EPS and its Q3 2027 guidance at 0.130-0.140 EPS. Research analysts expect that Braze will post -0.70 earnings per share for the current year.

Insider Transactions at Braze

In related news, insider Astha Malik sold 33,656 shares of the business’s stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $27.65, for a total transaction of $930,588.40. Following the completion of the transaction, the insider directly owned 278,138 shares in the company, valued at approximately $7,690,515.70. The trade was a 10.79% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Edward M. Mcdonnell sold 29,732 shares of the stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $31.38, for a total transaction of $932,990.16. Following the completion of the sale, the executive directly owned 409,630 shares of the company’s stock, valued at $12,854,189.40. This represents a 6.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 498,568 shares of company stock valued at $19,315,911 over the last quarter. 12.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Braze

Hedge funds have recently modified their holdings of the company. Versant Capital Management Inc increased its stake in shares of Braze by 13.3% in the second quarter. Versant Capital Management Inc now owns 4,692 shares of the company’s stock worth $102,000 after purchasing an additional 552 shares in the last quarter. Caitong International Asset Management Co. Ltd lifted its stake in shares of Braze by 3,650.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 825 shares of the company’s stock valued at $28,000 after buying an additional 803 shares in the last quarter. Citizens Financial Group Inc. RI lifted its stake in shares of Braze by 4.0% during the 1st quarter. Citizens Financial Group Inc. RI now owns 27,287 shares of the company’s stock valued at $644,000 after buying an additional 1,062 shares in the last quarter. Fifth Third Bancorp purchased a new position in shares of Braze during the 1st quarter valued at $27,000. Finally, Essential Partners LLC boosted its holdings in Braze by 109.8% in the 1st quarter. Essential Partners LLC now owns 2,174 shares of the company’s stock worth $51,000 after buying an additional 1,138 shares during the period. 90.47% of the stock is currently owned by institutional investors.

Key Headlines Impacting Braze

Here are the key news stories impacting Braze this week:

Positive Sentiment: Salesforce’s proposed acquisition values Braze at approximately $5.66 billion and offers shareholders $47.50 per share, representing roughly a 58% premium to Braze’s pre-announcement price. The transaction gives investors a defined cash exit and supports the stock’s move toward the offer price. Salesforce Fuels AI Engine With $5.66B Braze Buyout
Positive Sentiment: UBS described the acquisition as a strategic fit at a reasonable price, noting that Braze would add a faster-growing marketing-technology platform to Salesforce’s portfolio and strengthen its real-time data and AI offerings. Salesforce’s Braze deal wins UBS backing
Positive Sentiment: Trading activity also reflects bullish sentiment: investors purchased a high volume of Braze call options, while a separate analysis argued that the stock could remain undervalued despite its approximately 80% run. Stock Traders Buy High Volume of Braze Call Options
Neutral Sentiment: DA Davidson lowered its rating from Buy to Hold, and Citigroup cut its rating from Buy to Neutral. However, both firms set price targets of $47.50, leaving limited upside but broadly aligning with Salesforce’s offer.
Neutral Sentiment: The deal remains subject to shareholder approval and antitrust review, with completion expected in Salesforce’s fiscal 2028. The current price below $47.50 reflects some uncertainty about closing and timing.
Negative Sentiment: Several law firms are investigating whether the proposed price and sale process adequately protect Braze shareholders. These inquiries do not currently change the offer but could create legal or deal-completion risks. Braze Investor Alert
Negative Sentiment: CTO Jonathan Hyman sold a combined 295,000 shares under a pre-arranged Rule 10b5-1 plan. Although the sales were scheduled and he retains a substantial stake, the transactions may weigh modestly on sentiment after the recent rally.

About Braze

(Get Free Report)

Braze, Inc is a customer engagement software company that provides a platform for businesses to build, manage and measure personalized interactions with consumers. Its technology is designed to help brands communicate with customers across digital channels, including mobile applications, websites, email, SMS and messaging services.

The Braze platform supports customer data collection and segmentation, campaign creation, journey orchestration, experimentation and engagement analytics. Its capabilities include in-app and web messaging, push notifications, email marketing, content personalization and automated lifecycle campaigns.

Analyst Recommendations for Braze (NASDAQ:BRZE)

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