Analyst Derrick Wood from TD Cowen maintained a Buy rating on Braze and keeping the price target at $40.00.
TipRanks Cyber Monday Sale
- Claim 60% off TipRanks Premium for data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Derrick Wood’s rating is based on Braze’s consistent organic growth and attractive valuation metrics. The company has demonstrated stable growth, with expectations for a 20% organic increase, which aligns with historical performance. This stability is further supported by positive indicators from industry peers and a healthy e-commerce and mobile sales environment.
Additionally, Braze’s recent financial performance has been strong, with significant revenue beats and improved execution following strategic acquisitions and leadership changes. The company’s ability to maintain a stable net revenue retention rate after years of decline is also a positive sign. These factors, combined with the company’s valuation at approximately 3.5 times its expected 2026 sales, make Braze an appealing investment opportunity, justifying the Buy rating.
According to TipRanks, Wood is a 4-star analyst with an average return of 6.0% and a 47.98% success rate. Wood covers the Technology sector, focusing on stocks such as Oracle, Adobe, and Salesforce.