Asana (NYSE:ASAN) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Asana (NYSE:ASAN) issued its quarterly earnings data on Thursday. The company reported $0.10 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.08 by $0.02, FiscalAI reports. Asana had a negative return on equity of 77.05% and a negative net margin of 23.90%.The business had revenue of $205.10 million during the quarter, compared to analyst estimates of $203.58 million. During the same period in the previous year, the firm earned $0.05 EPS. Asana’s quarterly revenue was up 9.5% compared to the same quarter last year. Asana updated its FY 2027 guidance to 0.370-0.370 EPS and its Q2 2027 guidance to 0.080-0.090 EPS.

Here are the key takeaways from Asana’s conference call:

• Q1 results beat expectations, with revenue of $205.1 million, up 9.5% year over year, and non-GAAP operating margin expanding to 11.5% as the company showed improved profitability and efficiency.
• Retention and expansion trends improved across cohorts, with in-quarter net revenue retention rising to 97% for the fourth straight quarter and management citing stronger seat expansion, customer engagement, and early AI adoption.
• AI products are gaining traction: AI Studio and AI Teammates are contributing meaningfully to bookings, with AI product bookings reaching 17% of net new ARR in Q1 and customers adopting AI Studio showing stronger retention and NRR.
• Asana announced the acquisition of Stack AI, which management said accelerates its AI roadmap by more than a year and expands its ability to orchestrate cross-system enterprise workflows; the deal is expected to be modestly dilutive to margins near term but strategically important.
• Full-year guidance was reaffirmed at $855.5 million to $863.5 million in revenue and at least 9.75% non-GAAP operating margin, while management kept assumptions cautious on PLG drag and only modest NRR improvement despite improving tech-vertical trends.

Asana Stock Up 4.3%

Shares of ASAN opened at $6.68 on Friday. The stock has a market capitalization of $1.59 billion, a P/E ratio of -8.35 and a beta of 0.95. Asana has a twelve month low of $5.38 and a twelve month high of $19.00. The company has a 50 day moving average of $6.31 and a 200-day moving average of $9.39.

Insider Transactions at Asana

In related news, insider Katie Marie Colendich sold 7,304 shares of the stock in a transaction on Tuesday, March 10th. The shares were sold at an average price of $7.42, for a total transaction of $54,195.68. Following the completion of the transaction, the insider owned 108,214 shares in the company, valued at approximately $802,947.88. This represents a 6.32% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CAO Veronica Sosa sold 6,479 shares of Asana stock in a transaction on Friday, March 20th. The shares were sold at an average price of $6.65, for a total transaction of $43,085.35. Following the completion of the sale, the chief accounting officer owned 73,722 shares in the company, valued at $490,251.30. The trade was a 8.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 70,226 shares of company stock valued at $472,065 over the last 90 days. 61.28% of the stock is owned by corporate insiders.

Institutional Trading of Asana

Several institutional investors and hedge funds have recently bought and sold shares of the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of Asana by 5.0% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 48,546 shares of the company’s stock worth $707,000 after purchasing an additional 2,328 shares during the last quarter. Empowered Funds LLC boosted its holdings in shares of Asana by 40.9% in the 1st quarter. Empowered Funds LLC now owns 25,441 shares of the company’s stock valued at $371,000 after buying an additional 7,381 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Asana by 14.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 258,733 shares of the company’s stock valued at $3,770,000 after buying an additional 32,708 shares in the last quarter. American Century Companies Inc. bought a new position in shares of Asana in the second quarter valued at $158,000. Finally, Prudential Financial Inc. acquired a new position in Asana during the second quarter worth $160,000. Institutional investors own 26.21% of the company’s stock.

Key Stories Impacting Asana

Here are the key news stories impacting Asana this week:

• Positive Sentiment: Asana beat Wall Street estimates for Q1, reporting adjusted EPS of $0.10 versus the $0.08 consensus and revenue of about $205.1 million, which was also slightly ahead of expectations. Asana Announces First Quarter Fiscal 2027 Results
• Positive Sentiment: Management raised its outlook, guiding Q2 fiscal 2027 EPS to $0.08-$0.09 and full-year EPS to $0.37, both well above analyst forecasts, while revenue guidance also came in modestly above consensus. Asana Announces First Quarter Fiscal 2027 Results
• Positive Sentiment: Asana completed its acquisition of Stack AI, a no-code AI workflow platform, which could strengthen its product offering and support its push to become an AI-native workplace platform. Asana Acquires StackAI, Adding Cross-System Execution for Human-Agent Teams
• Neutral Sentiment: Investors are also parsing the earnings call transcript for details on margins, AI monetization, and execution after the quarter’s mixed profitability picture. Asana (ASAN) Q1 2027 Earnings Transcript
• Negative Sentiment: Despite the beat, Asana still posted a net loss and negative operating margin, so investors may remain cautious about how quickly the company can translate growth and AI initiatives into sustained profitability. Asana’s Q1 results surpass estimates; completes acquisition of StackAI

Analysts Set New Price Targets

ASAN has been the subject of several research analyst reports. Morgan Stanley reduced their price target on shares of Asana from $14.00 to $8.00 and set an “underweight” rating for the company in a report on Tuesday, March 3rd. KeyCorp dropped their price objective on shares of Asana from $18.00 to $15.00 and set an “overweight” rating on the stock in a report on Tuesday, March 3rd. Jefferies Financial Group reduced their target price on shares of Asana from $15.00 to $8.00 and set a “hold” rating for the company in a research note on Monday, February 23rd. UBS Group lowered their target price on Asana from $16.00 to $9.00 and set a “neutral” rating for the company in a report on Tuesday, March 3rd. Finally, Piper Sandler reissued a “neutral” rating and issued a $7.00 price target (down from $9.00) on shares of Asana in a research note on Tuesday, April 14th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, eight have assigned a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $12.32.

About Asana

Asana, Inc (NYSE: ASAN) is a leading provider of work management and collaboration software designed to help teams organize, track and manage their work. Founded in 2008 by Dustin Moskovitz and Justin Rosenstein, Asana’s platform enables users to create projects, assign tasks, set deadlines and visualize progress across diverse workflows. The company’s cloud-based solution includes customizable project templates, timeline views, boards and automated rules that streamline routine processes and reduce manual effort.

Built for both small teams and large enterprises, Asana supports integrations with a wide array of third-party applications, including communication tools, file-sharing services and DevOps platforms.