Key facts
- Advanced Micro Devices (AMD) received multiple analyst upgrades following strong Q1 results.
- Benchmark raised AMD's price target to $485, Goldman Sachs to $450, and Bernstein to $525.
- Zscaler (ZS) stock rose due to robust demand for its cloud-native security solutions and better-than-expected financial results.
- GitLab's shares declined after announcing a workforce reduction plan, despite exceeding Q1 earnings estimates.
- CrowdStrike shares fell 7% after its quarterly forecasts failed to meet investor expectations.
- Goldman Sachs significantly lowered its stock price target for CrowdStrike.
- Berenberg downgraded CrowdStrike to a hold rating.
- Veeva Systems Inc. reported Q1 FY2027 results that surpassed earnings expectations and raised full-year guidance, but its stock fell.
- DocuSign reported strong Q1 financial results, with cash flow reaching $289 million.
- Rubrik reported Q1 fiscal 2027 revenue of $387.1 million, up 39% year-over-year.
- Rubrik's subscription revenue increased 41% to $374.2 million in Q1 fiscal 2027.
- Rubrik's annual recurring revenue (ARR) reached $1.57 billion, a 32% increase.
Advanced Micro Devices (AMD) received multiple analyst upgrades following strong first-quarter results and guidance, with Benchmark raising its price target to $485, Goldman Sachs to $450, and Bernstein to $525. These upgrades are attributed to robust demand for AMD's AI-driven CPUs and GPUs. However, concerns about the stock's valuation persist, as it trades at a premium to its historical price-to-earnings ratio, and GF Value suggests it is overvalued.
Zscaler (ZS) experienced a significant stock rise, fueled by strong demand for its cloud-native security solutions and financial results that surpassed analyst expectations for both revenue and profit. In contrast, GitLab's shares declined after announcing a workforce reduction plan, even though its first-quarter results exceeded estimates. CrowdStrike's stock fell 7% after its quarterly forecasts failed to meet investor expectations, with analysts suggesting profit-taking might be a factor despite strong demand for cybersecurity software. Goldman Sachs significantly lowered its price target for CrowdStrike, and Berenberg downgraded the company to a hold rating, citing unspecified concerns despite a strong outlook.
Veeva Systems Inc. reported first-quarter fiscal year 2027 results that surpassed earnings expectations and raised full-year guidance. Despite this positive financial news, the stock fell in after-hours trading as Raymond James, Stifel, and Mizuho lowered their price targets, citing concerns about the growth outlook, valuation, and potential AI disruption. DocuSign reported strong first-quarter financial results, with cash flow reaching $289 million, driven by its AI-powered Identity and Access Management (IAM) solutions, which surpassed expectations.
Rubrik reported first-quarter fiscal 2027 revenue of $387.1 million, a 39% year-over-year increase, with subscription revenue up 41% to $374.2 million and annual recurring revenue (ARR) reaching $1.57 billion, a 32% increase. Despite raising full-year revenue guidance and exceeding earnings per share (EPS) expectations, the company's stock fell after the earnings release.
In other market movements, Mishra Dhatu Nigam (MIDHANI) achieved its best-ever quarterly performance in Q4, with revenue meeting brokerage estimates. Citizens maintained its stock rating on Pagaya, citing strong credit performance and sustained financial health. Bernstein analyst Stacy Rasgon increased Broadcom's stock price target to $550, anticipating significant growth in the artificial intelligence sector. Wedbush analyst Michael Hickey initiated coverage on Tripadvisor with an outperform rating and a $30 price target, citing brand recognition and growth potential. Webull Corp. (BULL) is drawing attention after its first quarter financial results exceeded expectations, and Cantor Fitzgerald issued a positive outlook for Gorilla Technology following its first-quarter results.