Here are the key analyst insights:

• Cantor Fitzgerald analyst Matthew VanVliet reiterated an Overweight rating and price target of $38.
• DA Davidson analyst Clark Wright maintained a Buy rating and price target of $33.

Check out other analyst stock ratings.

Cantor Fitzgerald: Braze reported both revenue and cRPO (current remaining performance obligations) 2.8% higher than consensus estimates. However, the complete $6 million revenue beat was due to Professional Services, while Subscription revenues were in-line with expectations.

VanVliet noted the following KPIs (key performance indicators):

• Net recurring revenues (NRR) grew 1 percentage points to 110%
• NRR from customers with ARR of more than $500,000 ARR rose to 111%.
• Total customers grew 16%.
• Customer with ARR over $500,000 grew 33%.
• Customers with ARR over $1 million grew 27%.

"Looking through this noise, current and total bookings were up 34% and 30%, respectively, which we view as evidence underlying momentum remains strong," he further wrote.

Management raised their revenue guidance for fiscal 2027 by $10.5 million, implying 21.5% growth, versus their prior outlook of 20%, VanVliet noted.

DA Davidson: Braze reported the fourth consecutive quarter of revenue acceleration, with total revenues growing 30% year-on-year to $211 million, beating consensus of $205 million, Wright said. "Strength was broad-based and marked a continuation of takeaway trends from legacy marketing cloud vendors," he wrote.

Management raised the midpoint of their revenue guidance for fiscal 2027 by $10 million to $897 million, ahead of consensus estimates of $888 million, the analyst stated. While this 22% growth, up from management's prior projection of 20%, there is upside given new logo momentum which continued into the second quarter, he added.

BRZE Price Action: Shares of Braze had declined by 6.02% to $23.10 at the time of publication on Thursday.

Image: Shutterstock