Strong Buy Rating for Onestream, Inc. Driven by Robust Performance and AI Expansion

TD Cowen analyst Derrick Wood has maintained their bullish stance on OS stock, giving a Buy rating yesterday.

Derrick Wood’s rating is based on Onestream, Inc.’s strong performance in a challenging fiscal quarter, where the company exceeded revenue expectations by approximately 4%. This was achieved despite a difficult environment in the U.S. federal sector, and the company is seeing increased momentum in Europe, driven by competitive replacement cycles. The management’s confidence in achieving around 20% software growth by fiscal year 2026 further supports the Buy rating.
Additionally, international revenues have accelerated, particularly in Europe, where Onestream is capitalizing on legacy system replacements and new compliance capabilities. The company’s advancements in AI, with a 60% year-over-year growth in AI bookings, are also promising. Onestream is expanding its AI offerings, which is expected to open new market opportunities, especially with the upcoming release of new AI agent solutions. These factors collectively contribute to Derrick Wood’s positive outlook on the stock.

In another report released yesterday, TR | OpenAI – 4o also upgraded the stock to a Buy with a $22.00 price target.