Braze, Inc.

Braze, Inc.

BRZEยทNASDAQ

$25.69

-17%
TechnologySoftware - Application

Braze, Inc. operates a customer engagement platform that provides interactions between consumers and brands worldwide. It offers data ingestion products, such as Braze software development kits that automatically manage data ingestion and the delivery of mobile and web notifications, in-application/in-browser interstitial messages, and content cards, as well as can be integrated into a range of digital interfaces and application development frameworks; REST API that can be used to import or export data or to trigger workflows between Braze and brands' existing technology stacks; and partner cohort syncing, which allow brands to sync user cohorts from partners. The company also offers classification products, including segmentation that can define reusable segments of consumers based upon attributes, events, or predictive propensity scores; segment insights, which allows customers to analyze how segments are performing relative to each other across a set of pre-selected key performance indicators, and helps to understand the factors that determine which consumers belong to a particular segment; and predictive suite that allows customers to identify groups of consumers that are of critical business value. In addition, it provides personalization and action products; and orchestration products, which include Canvas, an orchestration tool that allows customers to create journeys, mapping out multi-steps, and cross-channel messaging experiences, which include onboarding flows, nurture campaigns, win-back strategies, and others; campaigns, which allow customers to send one set of single-channel or multi-channel messages to be delivered to customers in a particular user segment; event and API triggering; frequency capping and rate limiting; intelligent selection; and reporting and analytics. The company was formerly known as Appboy, Inc. and changed its name to Braze, Inc. in November 2017. Braze, Inc. was incorporated in 2011 and is headquartered in New York, New York.

At a Glance

Live Snapshot
Market Cap$2.89B
EPS-1.2200
P/E Ratio-17.11
Earnings Date06/04/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

Medium confidence

Valuation multiple is compressed (P/E -17.1).

Valuation inputs: P/E -17.1, earnings yield N/A, momentum -16.7%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE -21.1%, ROIC -18.6%).

Profitability stack: net margin -17.8%, ROE -21.1%, ROIC -18.6%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile is elevated and scenario stress-testing is essential.

Risk factors: liabilities/assets +44.0%, momentum -16.7%, net margin -17.8%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Braze, Inc. Market vs Earnings Trajectory

BRZE ยท NASDAQ

Loading price and EPS data...

Braze, Inc.

Braze, Inc. Fair Value Envelope

BRZE ยท NASDAQ

Our analysis suggests that BRZE has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $25.69, this represents a potential HIDDEN relative to our calculated worth for Braze, Inc..

Intrinsic Value
Current Price: $25.69
3Y-17.0%
5Y+249.0%
10Y-35.0%
3Y+108.0%
5Y+391.0%
10Y+666.0%
3Y-6.0%
5Y+311.0%
10Y+313.0%
3Y-420.0%
5Y-1275.0%
10Y-1070.0%
3Y-259.0%
5Y-693.0%
10Y-724.0%
3Y+58.0%
5Y+550.0%
10Y+628.0%
Braze, Inc.

Braze, Inc. Profit Bridge

BRZE ยท NASDAQ
Revenue738.18M
Cost of Goods Sold (242.53M)
Gross Profit495.66M
Operating Expenses (628.41M)
Operating Income-132.76M
Interest Expense (0.00)
Other Income/Expense4.60M
Pretax Income-128.16M
Income Tax (2.62M)
Net Income-131.29M
Net Income
-131.29M

Profitability Analysis

Gross Margin

67.1%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

-18.0%

Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.

Net Profit Margin

-17.8%

Net losses indicate the company is burning cash. Sustainability depends on path to profitability.

Profitability Insight

Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.

67.15%
Gross Profit Margin
-3%
3Y-
5Y+5.0%
10Y+7.0%
-17.98%
Operating Profit Margin
-13%
3Y-57.0%
5Y-16.0%
10Y-48.0%
-17.79%
Net Profit Margin
2%
3Y-55.0%
5Y-16.0%
10Y-46.0%
-21.05%
Return on Equity
-4%
3Y-33.0%
5Y-171.0%
10Y-157.0%
-11.79%
Return on Assets
-1%
3Y-40.0%
5Y-37.0%
10Y-43.0%
-18.63%
Return on Invested Capital
-14%
3Y-37.0%
5Y-59.0%
10Y-51.0%
BRZE

Braze, Inc. Cash Conversion Engine

BRZE ยท NASDAQ
Net Income-130.79M
Depreciation & Amortization41.27M
Stock-Based Compensation143.74M
Change in Working Capital-4.91M
Others22.13M
Capital Expenditures-9.59M
Free Cash Flow61.85M

Cash Flow Quality Analysis

FCF Conversion Rate

-47.3%

Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.

CapEx Intensity

13.4%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+163.8%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$4.91M

Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.

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Braze, Inc. Funding & Solvency Profile

BRZE ยท NASDAQ
Cash & Cash Equivalents145.29M
Net Receivables118.47M
Inventory0.00
Other Current Assets40.68M
Total Current Assets547 M
Property, Plant & Equipment113.02M
Goodwill & Intangible Assets320.57M
Long-Term Investments0.00
Other Non-Current Assets110.78M
Total Non-Current Assets224 M
Total Assets
1.09B

Financial Health Analysis

Current Ratio

1.24x

Acceptable liquidity, but monitor closely. Current assets just barely cover current liabilities.

Debt-to-Equity Ratio

0.87x

Balanced capital structure with moderate leverage. Equity exceeds debt, suggesting healthy financial stability.

Working Capital

105 M

Positive working capital, but relatively tight. The company should monitor cash flow carefully.

Asset Composition

50% Current

Balanced asset mix between current and non-current assets, typical of many stable businesses.

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Braze, Inc. Street Expectations Map

BRZE ยท NASDAQ

Wall Street analysts project that BRZE stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 38.00, with estimates ranging from a low of 30.00 to a high of 45.00.

Lowest Target
30.00
16.78%
Consensus Target
38.00
47.92%
Highest Target
45.00
75.17%

The consensus 1-year price target stands at 38.00, with estimates ranging from a low of 30.00 to a high of 45.00.

Analyst Consensus Analysis

Upside Potential

+47.9%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

39.5% spread

Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.

Analyst Conviction

High

Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.

Market Sentiment Insight

Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.

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Braze, Inc. Insider Positioning

BRZE ยท NASDAQ

During the last 12 months, insiders have sold $5.03M worth of BRZE shares, with no buying activity reported.

3 Months

Bought

0

0.00

Sold

43.3K

903.02K

Net Activity

-903K

-$903K

3-6 Months

Bought

0

0.00

Sold

78.7K

1.44M

Net Activity

-1.4M

-$1.44M

6-9 Months

Bought

0

0.00

Sold

12.9K

371.44K

Net Activity

-371K

-$371K

9-12 Months

Bought

0

0.00

Sold

86.9K

2.31M

Net Activity

-2.3M

-$2.31M

Top Buyers

No buying activity

Top Sellers

1
WS

Wiseman Susan

Officer: General Counsel

68.4K sharesโ€ข8 transactions

$1.50M

2
MW

Magnuson William

Director, Officer: Chief Executive Officer

50.7K sharesโ€ข2 transactions

$1.08M

3
MA

Malik Astha

Officer: Chief Business Officer

39.4K sharesโ€ข4 transactions

$953K

4
WI

Winkles Isabelle

Officer: Chief Financial Officer

32.1K sharesโ€ข3 transactions

$699K

5
MP

Malik Pankaj

Officer: Chief Accounting Officer

15.0K sharesโ€ข4 transactions

$445K

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $5.03M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Recent Trend (3 Months)

$903K

Heavy recent selling activity. Recent insider sales notably exceed purchasesโ€”may warrant investigation into company developments.

Insider Participation

High Selling

5 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.

Insider Activity Insight

Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.

No Dividend Yield Data

BRZE has not reported any dividend yield values in the available annual periods.

ย 

brze Dividend History

BRZE
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%