Analyst Koji Ikeda of Bank of America Securities maintained a Hold rating on Autodesk, retaining the price target of $360.00.
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Koji Ikeda has given his Hold rating due to a combination of factors that reflect both opportunities and challenges for Autodesk. Conversations with customers and partners at Autodesk’s annual conference revealed a stable demand environment with potential for improvement over the next 12-24 months. The integration of AI into Autodesk’s offerings was a key theme, with enterprise customers recognizing its potential but also expressing concerns about data privacy and security, which could slow adoption in the near term.
Additionally, while there is optimism around data center projects driving demand in the architecture, engineering, and construction sectors, broader commercial construction faces hurdles such as high material costs and interest rates. The recent interest rate cut by the Federal Reserve could alleviate some of these pressures, potentially unlocking project backlogs and increasing demand for Autodesk’s products. Despite these positive indicators, the current macroeconomic uncertainties and regulatory challenges justify a cautious Hold rating, with a price objective of $360.
Ikeda covers the Technology sector, focusing on stocks such as Autodesk, Gitlab, and Datadog. According to TipRanks, Ikeda has an average return of 12.1% and a 58.01% success rate on recommended stocks.