A Look At Braze (BRZE) Valuation After Fresh Analyst Focus On Its AI Customer Engagement Platform
Braze (BRZE) is back in focus after fresh analyst reports highlighted its data first customer engagement platform, increased enterprise adoption, and growing interest in AI driven tools for mobile app marketing.
See our latest analysis for Braze.
Despite upbeat commentary around its AI focused customer engagement tools, Braze’s share price has been under pressure, with 7 day and 30 day share price returns of 23.41% and 33.67% declines, and a 1 year total shareholder return decline of 47.79%, suggesting recent enthusiasm has not yet shifted overall sentiment.
If Braze’s recent pullback has you rethinking where growth could come from, this might be a good time to widen the lens and check out high growth tech and AI stocks.
With Braze trading at US$23.03 against an analyst price target of US$46.70 and an indicated intrinsic discount of 23.2%, you have to ask: is this a reset entry point, or is the market already baking in the growth story?
Most Popular Narrative: 50.7% Undervalued
With Braze’s fair value estimate sitting at US$46.70 against a last close of US$23.03, the most followed narrative leans heavily toward a discounted price and sets up a detailed case built around AI adoption, revenue expansion, and margin improvement.
“Braze's acquisition of OfferFit is expected to enhance AI driven optimization capabilities and lead to revenue growth through deal size expansion and differentiation in the market. This investment should drive better earnings and net margins as OfferFit's sophisticated AI solutions integrate into Braze's platform.”
Curious how an AI acquisition, projected double digit revenue growth, and a premium future earnings multiple all work together to support that fair value? The narrative spells out the revenue path, the margin shift, and the valuation math that ties those assumptions back to today’s share price.
Result: Fair Value of $46.70 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, this story can break if OfferFit integration drags on margins longer than expected, or if evolving data laws and partner pricing squeeze future profitability.
Find out about the key risks to this Braze narrative.
Build Your Own Braze Narrative
If you see the numbers differently or prefer testing your own assumptions, you can build a custom Braze story in a few minutes with Do it your way.
A great starting point for your Braze research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.
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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.
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