The stock of Freshworks Inc. (NASDAQ:FRSH) increased by $0.19 on Tuesday to finish at $21.39, up 0.90 percent. The last five days have seen an average of 2,867,600 shares of common stock traded. 12 times new highs were reached in the current year, with a gain of $6.68. The average number of shares traded over the last 20 days was 3,420,075, while the average volume over the last 50 days totaled 3,056,518.
FRSH stock appreciated 14.63% since last month. On 07/31/23, the company’s shares reached a one-month low of $17.75. The stock touched a high of $23.09 on 08/02/23, after rallying from a low of $11.92 in 52 weeks. The price of FRSH stock has risen by 45.41% or $6.68 this year, reaching a new high 12 times. Still, the stock price is down -7.36% from the 52-week high.
Insider Transactions
FRSH stock investors should be aware that Freshworks Inc. (FRSH) stock had its last reported insider trading activity 20 days ago on Aug 10. On Aug 10, Director Taylor Jennifer H sold 7,028 shares at $22.34 each. This transaction resulted in the insider making $157,006. On Aug 10, Flower Johanna sold 4,700 shares at a price of US$22.33. After the transaction, the insider now owns 29,878 shares. Director AUSTIN ROXANNE S had earlier sold 6,298 shares on Aug 09 for $21.47 a share. The transaction was completed for $135,218.
Valuation Metrics
Beta for the stock is 0.78. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 11.27, the price-to-book (PB) ratio of 5.91, and the price-to-cash flow ratio of 256.77.
Financial Health
For the three months ended June 29, Freshworks Inc.’s quick ratio was 4.50, while its current ratio was 4.50, indicating its ability to pay off its debt. As far as profitability goes, gross margin for the trailing twelve months is 81.70% percent. Freshworks Inc.’s EBITDA margin for the year ended June 29 was -43.31%, whereas its operating margin stood at -38.60% for the same period. Based on annual data, it had gross profit of $402.23 million and revenue of $498.0 million.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. FRSH’s return on assets (ROA) during the last 12 months has been -13.90%. There was a -23.30% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -18.20%.
Earnings Surprise
According to Freshworks Inc.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $145.08 million, while revenues rose by 16.3% to $137.69 million. It was predicted that Freshworks Inc.’s quarterly earnings would be $0.07, but it ended up being $0.02. EBITDA was -$38.74 million for the quarter. At the end of Freshworks Inc.’s most recent quarter ended June 29, its liabilities totaled 342.65 million, while its total debt was $30.03 million. Equity owned by shareholders amounts to $293.57 million.
Technical Picture
Here’s a quick look at Freshworks Inc.’s (FRSH) price momentum from a technical perspective. As of 29 August, the RSI 9-day stood at 57.30%, suggesting the stock is Neutral, with a 30.31% historical volatility rate.
The stochastic %K and %D were 35.48% and 27.69% respectively, while the average true range (ATR) was 0.79. Based on the 14-day stochastic reading of 40.91%, the RSI (14) reading is 59.33%. On the 9-day MACD Oscillator, the stock is at 0.17, and the 14-day reading is at -0.32.
Analyst Ratings
In its most recent analyst report, Canaccord Genuity raised its rating on Freshworks Inc. (NASDAQ: FRSH) to a Buy. Prior to this, analysts firm rated the stock as a Hold. Analysts have assigned Freshworks Inc. (FRSH) an Overweight rating. FRSH is a stock that is recommended for selling by 0 brokerage firms, while 8 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 1 rate it overweight and 9 others recommend it as a buy.
