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Investing.com - Mizuho raised its price target on Autodesk (NASDAQ:ADSK), a $62.3 billion software giant, to $375 from $350 on Friday, while maintaining an Outperform rating on the stock. According to InvestingPro data, analysts’ targets range from $271 to $430, reflecting the market’s positive sentiment on this prominent software player.
The price target increase follows Autodesk’s strong fiscal second-quarter results, which included a revenue beat of $39 million, described by Mizuho as "among the largest in recent years." With impressive gross profit margins of 92% and revenue growth of nearly 14%, as revealed by InvestingPro’s comprehensive analysis, the firm attributed the performance to accelerating growth in the Architecture, Engineering, Construction, and Operations (AECO) segment.
Autodesk’s AECO growth benefited from data centers, infrastructure, and industrial projects, which offset weakness in the commercial sector. The company also saw easing friction from its new transaction model, contributing to the strong performance.
Operating margin performance exceeded consensus by 78 basis points, helping Autodesk deliver an earnings per share beat of $0.17. Based on the strength in its underlying business, management raised its fiscal year 2026 constant currency core revenue guidance from 8%-9% to 9%-10%.
Autodesk now expects fiscal year 2029 operating margins to expand to approximately 41% from about 37% in fiscal year 2026, with more details expected at its Investor Day on October 7, which Mizuho identified as "the next key catalyst."
In other recent news, Autodesk reported a strong fiscal second-quarter 2026 performance, with revenue exceeding consensus estimates by 2.2%. The company’s operating income was 6% above expectations, while earnings per share were 7% higher, and free cash flow surpassed forecasts by 103%. Piper Sandler raised its price target on Autodesk to $373, citing the company’s increased revenue growth, billings growth, operating margin, and free cash flow forecasts for fiscal year 2026. KeyBanc also increased its price target to $365, following Autodesk’s second-quarter results, which showed an acceleration in normalized constant currency revenue growth to 11%.
Goldman Sachs raised its price target for Autodesk to $320, maintaining a Neutral rating, while Loop Capital reiterated its Hold rating and maintained a $320 price target after the strong quarter. William Blair reiterated an Outperform rating, highlighting Autodesk’s 11% revenue growth in constant currency and a 39% operating margin, both surpassing analyst forecasts. These developments reflect positive sentiment from analysts following Autodesk’s recent financial results.
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