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On Friday, BMO Capital Markets adjusted its outlook on Autodesk stock, increasing the price target to $333 from the previous $324, while maintaining a Market Perform rating. The decision comes after Autodesk demonstrated a strong start to the fiscal year 2026, surpassing expectations with its billings and providing positive commentary on its business model transition. According to InvestingPro data, 21 analysts have recently revised their earnings expectations upward, with price targets ranging from $271 to $430.
Autodesk, a leader in 3D design, engineering, and entertainment software, has shown resilience in its demand conditions, despite the challenging macroeconomic environment. The company maintains impressive gross profit margins of 92% and has achieved revenue growth of 12.4% over the last twelve months. BMO Capital’s analyst Daniel Jester noted that the company has incorporated a degree of incremental conservatism into its billings guidance for the fiscal year, a prudent move given the dynamic macro backdrop.
Jester’s analysis points to a promising beginning for Autodesk in FY26, with the company’s performance in the first quarter prompting a slight increase in BMO’s estimates. The analyst expressed a stance of patience, opting to wait for additional information on the trajectory of Autodesk’s margin expansion before making further judgments. InvestingPro analysis reveals the company maintains a GREAT financial health score, with particularly strong profitability metrics. Subscribers can access 13 additional ProTips and comprehensive valuation analysis in the Pro Research Report.
BMO’s updated price target reflects confidence in Autodesk’s current strategy and execution, acknowledging the company’s effective navigation through a period of business model transition. Jester’s remarks highlight the importance of monitoring the company’s progress in the face of ongoing macroeconomic uncertainties.
Autodesk’s shares are traded on the NASDAQ under the ticker symbol (NASDAQ:ADSK). The company’s updated guidance and performance metrics will continue to be watched closely by investors as indicators of its financial health and strategic direction in a fluctuating economic landscape.
In other recent news, Autodesk Inc . reported strong financial results for the first quarter of 2025, surpassing both earnings and revenue expectations. The company’s earnings per share reached $2.29, exceeding the forecasted $2.15, while revenue was $1.63 billion, above the anticipated $1.61 billion. This performance reflects a 15% year-over-year revenue increase, highlighting the company’s robust growth despite macroeconomic uncertainties. Autodesk has also raised its full-year revenue guidance to a range of $6.925 billion to $6.995 billion, indicating expected growth of 8-9%.
In addition to its financial achievements, Autodesk’s fiscal year 2026 guidance for free cash flow has been slightly increased, reinforcing confidence in the company’s financial outlook. RBC Capital Markets maintained its Outperform rating for Autodesk with a price target of $345, citing the company’s positive start to the year and effective transition to a transaction-based model. The firm also expressed approval of Autodesk’s cautious yet optimistic guidance philosophy.
Autodesk’s ongoing strategic investments in AI, cloud, and platform technologies are seen as key drivers of its growth trajectory. These initiatives are expected to support continued financial performance improvements. Overall, these recent developments underscore Autodesk’s strong market position and strategic focus amidst challenging economic conditions.
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