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    Braze (BRZE) Is Up 10.7% After AI-Fueled Q3 Beat And Higher Revenue Guidance – Has The Bull Case Changed?

    Simply Wall St·12/17/2025 08:21:10
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    • Braze, Inc. recently reported third-quarter 2025 results, with revenue rising to US$190.84 million while net loss widened to US$36 million, and issued fourth-quarter and full-year 2025 revenue guidance of about US$197.5–198.5 million and US$730.5–731.5 million, respectively.
    • Management highlighted strong customer additions and rising use of its AI-powered, multi-channel engagement platform, especially around high-intensity marketing periods like Cyber Week, as key drivers of the recent performance.
    • Next, we’ll examine how stronger-than-expected revenue growth powered by AI-driven customer engagement could influence Braze’s broader investment narrative.

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    Braze Investment Narrative Recap

    To own Braze, you need to believe that its AI-powered, multi-channel platform can keep winning budget as brands modernize customer engagement, even while the company remains unprofitable. The latest quarter reinforced that revenue growth tied to AI-driven campaigns is a key near term catalyst, but the widening net loss keeps profitability and margin pressure as the central risk, which this update does not materially reduce.

    The updated full year 2025 revenue guidance of about US$730.5 million to US$731.5 million is the most relevant announcement here, because it links the stronger third quarter to forward demand. It also matters for assessing whether investments like OfferFit and BrazeAI Decisioning Studio can translate into sustained top line expansion without further stretching net margins.

    Yet investors should be aware that rising revenue does not fully offset the risk that ongoing losses and integration costs could...

    Read the full narrative on Braze (it's free!)

    Braze's narrative projects $1.0 billion revenue and $133.0 million earnings by 2028. This requires 17.9% yearly revenue growth and a $236.9 million earnings increase from -$103.9 million today.

    Uncover how Braze's forecasts yield a $47.06 fair value, a 39% upside to its current price.

    Exploring Other Perspectives

    BRZE 1-Year Stock Price Chart
    BRZE 1-Year Stock Price Chart

    Five fair value estimates from the Simply Wall St Community range from about US$29.64 to over US$33,500, showing just how far apart individual views can be. Against that backdrop, Braze’s stronger AI driven revenue guidance and still widening losses give you a concrete set of catalysts and risks to weigh as you compare these perspectives.

    Explore 5 other fair value estimates on Braze - why the stock might be worth 13% less than the current price!

    Build Your Own Braze Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.