Freshworks Inc. (NasdaqGS:FRSH) Stock Price & Quote Analysis

FRSH Stock Overview

Freshworks Inc., a software development company, provides modern software-as-a-service products worldwide.

FRSH fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	2/6
Past Performance	0/6
Financial Health	5/6
Dividends	0/6

Rewards

Trading at 5% below our estimate of its fair value

Revenue is forecast to grow 20.05% per year

Revenue grew by 38.9% over the past year

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year

My Notes

New

Notes are coming soon

Freshworks Inc. Competitors

AppLovin

NasdaqGS:APP

US$4.5b

DoubleVerify Holdings

NYSE:DV

US$4.4b

Elastic

NYSE:ESTC

US$5.5b

Smartsheet

NYSE:SMAR

US$5.5b

Price History & Performance

Summary of all time highs, changes and price drops for Freshworks
Historical stock prices
Current Share Price	US$16.27
52 Week High	US$23.72
52 Week Low	US$10.51
Beta	0
1 Month Change	10.61%
3 Month Change	32.92%
1 Year Change	-27.79%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-65.78%

Here's Why We're Not At All Concerned With Freshworks' (NASDAQ:FRSH) Cash Burn Situation

Dec 26

Recent updates

Here's Why We're Not At All Concerned With Freshworks' (NASDAQ:FRSH) Cash Burn Situation

Dec 26

Shareholder Returns

	FRSH	US Software	US Market
7D	6.3%	0.9%	0.2%
1Y	-27.8%	-25.6%	-13.6%

Return vs Industry: FRSH underperformed the US Software industry which returned -22% over the past year.

Return vs Market: FRSH underperformed the US Market which returned -9.2% over the past year.

Price Volatility

Is FRSH's price volatile compared to industry and market?
FRSH volatility
FRSH Average Weekly Movement	8.5%
Software Industry Average Movement	9.5%
Market Average Movement	6.9%
10% most volatile stocks in US Market	17.3%
10% least volatile stocks in US Market	2.8%

Stable Share Price: FRSH is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: FRSH's weekly volatility (8%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2010	4,600	Rathna Mathrubootham	https://www.freshworks.com

Freshworks Inc., a software development company, provides modern software-as-a-service products worldwide. Freshworks Inc. was formerly known as Freshdesk Inc. and changed its name to Freshworks Inc. in June 2017. The company was incorporated in 2010 and is headquartered in San Mateo, California.

Freshworks Inc. Fundamentals Summary

How do Freshworks's earnings and revenue compare to its market cap?
FRSH fundamental statistics
Market Cap	US$4.68b
Earnings (TTM)	-US$251.39m
Revenue (TTM)	US$470.31m

10.0x

P/S Ratio

-18.6x

P/E Ratio

Is FRSH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FRSH income statement (TTM)
Revenue	US$470.31m
Cost of Revenue	US$91.01m
Gross Profit	US$379.30m
Other Expenses	US$630.69m
Earnings	-US$251.39m

Last Reported Earnings

Sep 30, 2022

Next Earnings Date

Feb 07, 2023

Earnings per share (EPS)	-0.87
Gross Margin	80.65%
Net Profit Margin	-53.45%
Debt/Equity Ratio	0%

How did FRSH perform over the long term?

See historical performance and comparison

FRSH Stock Overview

Rewards

Risk Analysis

Freshworks Inc. Competitors

NasdaqGS:APP

US$4.5b

NYSE:DV

US$4.4b

NYSE:ESTC

US$5.5b

NYSE:SMAR

US$5.5b

Price History & Performance

Recent News & Updates

Independent Director exercised options and sold US$67k worth of stock

Freshworks Inc. to Report Q4, 2022 Results on Feb 07, 2023

Independent Director exercised options and sold US$95k worth of stock

Here's Why We're Not At All Concerned With Freshworks' (NASDAQ:FRSH) Cash Burn Situation

Chief Marketing Officer exercised options and sold US$533k worth of stock

Independent Director exercised options and sold US$93k worth of stock

Recent updates

Independent Director exercised options and sold US$67k worth of stock

Freshworks Inc. to Report Q4, 2022 Results on Feb 07, 2023

Independent Director exercised options and sold US$95k worth of stock

Here's Why We're Not At All Concerned With Freshworks' (NASDAQ:FRSH) Cash Burn Situation

Chief Marketing Officer exercised options and sold US$533k worth of stock

Independent Director exercised options and sold US$93k worth of stock

Freshworks Inc. Appoints Jason Loomis as Chief Information Security Officer

Now 21% undervalued after recent price drop

Independent Director exercised options and sold US$66k worth of stock

High number of new and inexperienced directors

Co-Founder exercised options and sold US$971k worth of stock

Now 25% undervalued after recent price drop

Third quarter 2022 earnings: EPS and revenues exceed analyst expectations

Freshworks Inc. Provides Earnings Guidance for the Fourth Quarter; and Full Year 2022

Freshworks Inc. Turns Freshservice Demand into A New Product Opportunity with Multi-Department Service Desk

Chief Product Officer exercised options and sold US$1.0m worth of stock

Chief Product Officer exercised options and sold US$149k worth of stock

Freshworks Inc. to Report Q3, 2022 Results on Nov 01, 2022

Companies Like Freshworks (NASDAQ:FRSH) Can Afford To Invest In Growth

Chief Marketing Officer exercised options and sold US$761k worth of stock

Independent Director exercised options and sold US$285k worth of stock

Freshworks Inc. Appoints Dennis Woodside as President, Effective September 1, 2022

Now 21% undervalued

Independent Director exercised options and sold US$77k worth of stock

Are Investors Undervaluing Freshworks Inc. (NASDAQ:FRSH) By 22%?

Co-Founder exercised options and sold US$994k worth of stock

Second quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind

Freshworks Inc. Provides Revenue Guidance for the Third Quarter and Full Year of 2022

Freshworks Inc Summer ‘22 Product Launch Helps Companies Power Smarter Conversations

Independent Director exercised options and sold US$70k worth of stock

Co-Founder exercised options and sold US$1.1m worth of stock

Freshworks Inc. to Report Q2, 2022 Results on Aug 02, 2022

Now 27% undervalued after recent price drop

Independent Director exercised options and sold US$342k worth of stock

Companies Like Freshworks (NASDAQ:FRSH) Can Afford To Invest In Growth

Now 20% undervalued after recent price drop

Independent Director exercised options and sold US$67k worth of stock

Freshworks Inc. Provides Revenue Guidance for the Second Quarter and Full Year of 2022

First quarter 2022 earnings: EPS and revenues exceed analyst expectations

Co-Founder exercised options and sold US$1.3m worth of stock

Now 23% undervalued after recent price drop

A Look At The Fair Value Of Freshworks Inc. (NASDAQ:FRSH)

High number of new and inexperienced directors

Chief Revenue Officer notifies of intention to sell stock

Chief Product Officer exercised options and sold US$1.2m worth of stock

Freshworks Inc., Annual General Meeting, Jun 02, 2022

Chief Product Officer exercised options and sold US$207k worth of stock

Freshworks Inc. to Report Q1, 2022 Results on May 03, 2022

Independent Director notifies of intention to sell stock

Independent Director exercised options and sold US$534k worth of stock

Independent Director notifies of intention to sell stock

Full year 2021 earnings: Revenues exceed analysts expectations while EPS lags behind

Freshworks Inc. Provides Earnings Guidance for the First Quarter and Full Year of 2022

High number of new and inexperienced directors

Independent Director notifies of intention to sell stock

Calculating The Fair Value Of Freshworks Inc. (NASDAQ:FRSH)

Third quarter 2021 earnings released: US$24.73 loss per share

Freshworks Inc. has completed an IPO in the amount of $1.026 billion.

Shareholder Returns