PagerDuty falls as brokerages cut PT after it trims annual revenue outlook

PagerDuty

04/09/2024 12:24

** Shares of software firm PagerDuty  PD.N  fall 14.4% to
$15.66 premarket
    ** At least six brokerages cut PT to between $18 and $24
    ** PD cuts annual revenue forecast to between $463 mln and
$467 mln, compared with its earlier forecast of between $471 mln
and $477 mln
    ** Brokerage William Blair says PD's increased focus on
large deals that are taking longer to close and macro headwinds
prompted management to trim its FY25 revenue forecast
    ** "While we are encouraged by the momentum across
multi-product and multi-year deals, we find the revenue
guide-down frustrating and look for consistent execution through
the deal delays," brokerage RBC Capital Markets says
    ** Brokerage Canaccord Genuity believes there is a pathway
to "improving growth" in FY25 if small and mid-size churn can
consistently stabilize
    ** Average rating of 14 analysts covering the stock is
"buy"; their median PT is $22 - LSEG data
    ** Up to last close, stock down ~21% YTD

 (Reporting by Jaspreet Singh in Bengaluru)
 ((Jaspreet.Singh@thomsonreuters.com ; https://twitter.com/i_jass))