Asana (ASAN) AI Stock Analysis

• Market Cap: $3.02B
• Dividend Yield: N/A
• Average Volume (3M): 3.23M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.62
• Revenue Growth: 9.47%
• EPS Growth: 16.97%
• Country: US
• Employees: 1,819
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.07
• Shares Outstanding: 156,685,240
• 10 Day Avg. Volume: 3,743,495
• 30 Day Avg. Volume: 3,234,023
• PEG Ratio: 3.74
• Price to Book (P/B): 21.52
• Price to Sales (P/S): 6.76
• P/FCF Ratio: 523.40
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $16.50
• Price Target Upside: 25.95% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: $15.00 ▲(14.50% Upside)

Asana's overall stock score reflects strong revenue growth and positive earnings call sentiment, offset by challenges in profitability and valuation concerns. Technical indicators suggest positive momentum, but potential overbought conditions warrant caution. The company's ability to navigate tech sector headwinds and improve profitability will be crucial for future performance.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

AI Product Adoption

Successful AI product adoption enhances Asana's competitive edge, driving innovation and customer retention in the evolving tech landscape.

International Market Expansion

Strong international growth diversifies revenue streams and reduces reliance on domestic markets, supporting global market presence.

Negative Factors

Profitability Challenges

Ongoing profitability issues and high leverage can hinder financial stability, limiting investment capacity and growth potential.

Tech Sector Headwinds

Persistent tech sector challenges may impact growth prospects, requiring strategic adjustments to navigate industry dynamics.

SMB Market Challenges

Difficulties in the SMB market could slow customer acquisition and retention, affecting revenue growth and market penetration.

Asana Business Overview & Revenue Model

Company Description

Asana (ASAN) is a leading work management platform that empowers teams to orchestrate their work, from daily tasks to strategic initiatives. Founded in 2008 and based in San Francisco, Asana operates in the software sector, primarily focusing on productivity and collaboration tools. Its core offerings include project management software that helps organizations streamline workflows, enhance communication, and improve overall efficiency by allowing teams to plan, track, and manage their work in a centralized space.

How the Company Makes Money

Asana generates revenue primarily through a subscription-based model, offering various pricing tiers that cater to different organizational needs. The company's key revenue streams include its Premium and Business plans, which provide advanced features and capabilities for teams, and its Enterprise plan, which offers custom solutions for larger organizations. Asana also benefits from strategic partnerships and integrations with other software tools, enhancing its platform's value and driving user acquisition. Additionally, the company invests in marketing and sales efforts to expand its customer base and retain existing clients, contributing to its overall earnings.

Asana Financial Statement Overview

Summary

Asana shows strong revenue growth and efficient cost management with a high gross profit margin. However, the company struggles with profitability due to negative net profit margins and high leverage, indicating financial instability.

Income Statement

Asana's revenue has shown consistent growth, with a TTM increase of 2.27%. However, the company is struggling with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin remains strong at approximately 89%, indicating efficient cost management relative to revenue. Despite revenue growth, the persistent negative margins highlight ongoing challenges in achieving profitability.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 1.14 in the TTM, indicating significant leverage. The return on equity is negative, suggesting that the company is not generating sufficient returns on shareholders' investments. The equity ratio is low, pointing to a reliance on debt financing. These factors suggest financial instability and potential risks if the company cannot improve its profitability.

Cash Flow

Asana's cash flow situation shows improvement, with a significant increase in free cash flow growth of 78.20% in the TTM. The operating cash flow to net income ratio is positive, indicating better cash generation relative to net income. However, the free cash flow to net income ratio suggests that while cash flow is improving, profitability remains a challenge. Overall, the cash flow position is strengthening but still requires careful management.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	723.88M	652.50M	547.21M	378.44M	227.00M
Gross Profit	646.68M	587.98M	490.65M	339.54M	198.26M
EBITDA	-229.54M	-235.03M	-388.22M	-258.26M	-154.12M
Net Income	-255.54M	-257.03M	-407.77M	-288.34M	-211.71M
Balance Sheet
Total Assets	891.41M	961.96M	954.96M	707.03M	731.12M
Cash, Cash Equivalents and Short-Term Investments	466.88M	519.46M	529.30M	312.03M	386.27M
Total Debt	268.39M	277.88M	271.54M	255.61M	585.86M
Total Liabilities	663.89M	635.56M	598.39M	503.19M	743.91M
Stockholders Equity	227.52M	326.40M	356.57M	203.84M	-12.79M
Cash Flow
Free Cash Flow	9.36M	-31.09M	-167.22M	-126.50M	-151.18M
Operating Cash Flow	14.93M	-17.93M	-160.06M	-83.78M	-92.87M
Investing Cash Flow	-6.13M	-289.13M	64.49M	27.56M	-158.94M
Financing Cash Flow	-58.09M	16.78M	381.39M	37.21M	201.00M

Asana Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASAN, the sentiment is Positive. The current price of 13.1 is below the 20-day moving average (MA) of 13.26, below the 50-day MA of 13.69, and below the 200-day MA of 14.64, indicating a neutral trend. The MACD of 0.38 indicates Negative momentum. The RSI at 58.19 is Neutral, neither overbought nor oversold. The STOCH value of 71.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ASAN.

Asana Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AGYS	76 Outperform	$3.48B	145.23	8.74%	―	17.77%	-76.05%
ALRM	72 Outperform	$2.63B	22.07	16.89%	―	7.35%	2.44%
BL	71 Outperform	$3.50B	53.57	21.85%	―	7.36%	-40.62%
RNG	63 Neutral	$2.65B	219.58	―	―	5.45%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SPT	61 Neutral	$668.47M	―	-26.69%	―	13.09%	32.34%
ASAN	57 Neutral	$3.02B	―	-102.48%	―	9.47%	16.97%

Asana Corporate Events

Asana Announces Leadership Changes Amid Strong Q3 Results

On November 30, 2025, Asana announced the resignations of Anne Raimondi as Chief Operating Officer and Eleanor Lacey as General Counsel and Corporate Secretary, both effective December 31, 2025. They will transition to advisory roles until March 31, 2026, with no disagreements cited for their departures. Katie Colendich will succeed Lacey, bringing extensive legal leadership experience from Asana and HP, Inc. Asana also reported strong financial results for Q3 fiscal 2026, with revenues of $201 million, a 9% increase year-over-year, and improved non-GAAP operating margins. The company introduced AI Teammates, enhancing productivity and collaboration, and held significant industry events, positioning itself for long-term growth and innovation in the AI-driven work management sector.

Asana Subleases Office Space, Faces Impairment Expenses

On September 5, 2025, Asana, Inc. subleased a portion of its headquarters office space in San Francisco, amounting to approximately 55,513 square feet. This sublease is set to commence in October 2025 and last until September 2029. The company’s management has determined that this sublease will lead to impairment expenses estimated between $29 million and $32 million for the period ending October 31, 2025. These figures are preliminary and subject to change following the completion of financial statements and audits for the fiscal year ending January 31, 2026. However, Asana does not anticipate significant cash expenditures related to these impairment charges.