Morgan Stanley analyst Josh Baer maintained a Sell rating on Asana today and set a price target of $8.00.
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Josh Baer has given his Sell rating due to a combination of factors tied to Asana’s growth outlook and valuation. While recent metrics like billings, cRPO, and AI Studio ARR show momentum, management’s guidance for fiscal 2027 points to revenue growth slowing to around the high single digits, with net revenue retention stuck below 100%, signaling limited evidence that AI products will materially re-accelerate the overall business.
Baer also highlights that these growth concerns come amid a challenging product-led growth environment, potential customer seat reductions, and early-stage, competitive AI monetization, which together create a murky path forward. Against this backdrop, Asana’s shares still trade at a premium EV/S/G multiple versus a key peer like Monday.com, despite generating weaker free cash flow, leading him to maintain an Underweight (Sell) stance and cut the price target to reflect sector multiple compression.
Baer covers the Technology sector, focusing on stocks such as Commerce.com, Via Transportation, Inc. Class A, and Zoom Video Communications. According to TipRanks, Baer has an average return of 3.2% and a 48.59% success rate on recommended stocks.
In another report released on February 13, RBC Capital also maintained a Sell rating on the stock with a $11.00 price target.