Short Interest in Freshworks Inc. (NASDAQ:FRSH) Rises By 24.4%

Freshworks Inc. (NASDAQ:FRSH) was the recipient of a large growth in short interest during the month of January. As of January 15th, there was short interest totaling 18,445,573 shares, a growth of 24.4% from the December 31st total of 14,822,021 shares. Currently, 7.4% of the shares of the company are sold short. Based on an average daily trading volume, of 3,948,815 shares, the days-to-cover ratio is currently 4.7 days. Based on an average daily trading volume, of 3,948,815 shares, the days-to-cover ratio is currently 4.7 days. Currently, 7.4% of the shares of the company are sold short.

Insiders Place Their Bets

In other news, insider Mika Yamamoto sold 15,012 shares of the firm’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $13.00, for a total value of $195,156.00. Following the sale, the insider owned 490,350 shares in the company, valued at approximately $6,374,550. This trade represents a 2.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Tyler Sloat bought 171,615 shares of the business’s stock in a transaction that occurred on Tuesday, November 11th. The shares were bought at an average price of $11.62 per share, with a total value of $1,994,166.30. Following the completion of the purchase, the insider owned 1,149,244 shares in the company, valued at approximately $13,354,215.28. The trade was a 17.55% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last 90 days, insiders sold 22,267 shares of company stock valued at $282,301. Corporate insiders own 11.17% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. BNP PARIBAS ASSET MANAGEMENT Holding S.A. bought a new stake in shares of Freshworks during the second quarter valued at approximately $25,000. Meeder Asset Management Inc. acquired a new position in Freshworks during the 3rd quarter worth $27,000. Rothschild Investment LLC lifted its holdings in Freshworks by 560.0% during the 3rd quarter. Rothschild Investment LLC now owns 2,277 shares of the company’s stock worth $27,000 after buying an additional 1,932 shares in the last quarter. SBI Securities Co. Ltd. boosted its position in Freshworks by 136.2% in the 3rd quarter. SBI Securities Co. Ltd. now owns 2,745 shares of the company’s stock valued at $32,000 after buying an additional 1,583 shares during the last quarter. Finally, Aster Capital Management DIFC Ltd acquired a new stake in shares of Freshworks in the 3rd quarter valued at $67,000. 75.58% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on the stock. Zacks Research downgraded shares of Freshworks from a “strong-buy” rating to a “hold” rating in a report on Monday, January 12th. Canaccord Genuity Group lowered their price target on Freshworks from $23.00 to $19.00 and set a “buy” rating on the stock in a research note on Thursday, November 6th. Piper Sandler cut Freshworks from an “overweight” rating to a “neutral” rating and set a $12.00 price target for the company. in a report on Monday. UBS Group reissued a “buy” rating and set a $17.00 price objective on shares of Freshworks in a report on Friday, November 14th. Finally, Wall Street Zen cut Freshworks from a “strong-buy” rating to a “buy” rating in a research report on Saturday, December 20th. Six investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Freshworks currently has a consensus rating of “Hold” and a consensus target price of $18.54.

Freshworks Stock Down 10.6%

FRSH traded down $1.13 during midday trading on Tuesday, reaching $9.53. 7,888,617 shares of the company’s stock were exchanged, compared to its average volume of 4,055,498. The business has a 50-day simple moving average of $11.99 and a two-hundred day simple moving average of $12.25. The firm has a market capitalization of $2.69 billion, a price-to-earnings ratio of -95.29 and a beta of 0.89. Freshworks has a one year low of $9.45 and a one year high of $18.78.

Freshworks (NASDAQ:FRSH) last released its quarterly earnings data on Wednesday, November 5th. The company reported $0.16 earnings per share for the quarter, beating the consensus estimate of $0.13 by $0.03. The company had revenue of $215.12 million for the quarter, compared to analyst estimates of $208.80 million. Freshworks had a negative return on equity of 0.37% and a negative net margin of 3.65%.The company’s revenue was up 15.3% compared to the same quarter last year. During the same period in the prior year, the company posted $0.11 EPS. Freshworks has set its Q4 2025 guidance at 0.100-0.120 EPS. As a group, research analysts anticipate that Freshworks will post -0.19 EPS for the current fiscal year.

About Freshworks

Freshworks, Inc is a global provider of cloud-based customer engagement software designed to help businesses streamline customer support, sales, marketing, and IT service operations. The company’s integrated suite of solutions enables organizations of all sizes to deliver seamless experiences across multiple channels, including email, chat, phone, and social media. Freshworks’ platform is built on modern, user-friendly interfaces and offers native automation, AI-powered insights, and analytics to improve efficiency and customer satisfaction.

The company’s flagship product, Freshdesk, serves as a helpdesk solution for customer support teams, while Freshservice addresses IT service management needs.