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Investing.com - DA Davidson maintained its Buy rating and $29.00 price target on Confluent Inc (NASDAQ:CFLT) following the company’s Current 2025 event in New Orleans. The target represents a 23% upside from Confluent ’s current trading price of $23.54, with the data streaming company currently valued at $8.19 billion.
The research firm highlighted several key announcements from the annual data streaming community event, including new Confluent Intelligence capabilities designed to help customers develop real-time, contextually-aware AI systems.
Other significant developments included the general availability of Delta Lake and Databricks Unity Catalog Tableflow integrations, early access to Tableflow for OneLake, and the general availability of a new private cloud deployment model.
DA Davidson noted that conversations with global system integrators and customers at the event were positive and aligned with their recent checks on the company’s performance. This aligns with Confluent’s strong revenue growth of 23% over the last twelve months and impressive 74% gross profit margin.
The firm remains bullish on Confluent’s long-term growth prospects, despite observing that rollouts of generative AI and agentic AI use cases remain limited at this time. According to InvestingPro data, while Confluent is not currently profitable, analysts predict the company will achieve profitability this year. The stock is currently trading near its Fair Value, with a solid financial position as liquid assets exceed short-term obligations.
In other recent news, Confluent, Inc. announced the general availability of Delta Lake and Databricks Unity Catalog integrations in its Tableflow product, alongside early access on Microsoft OneLake. These updates are designed to streamline the conversion of streaming data into analytics-ready tables across hybrid and multicloud environments. Additionally, Confluent introduced advancements to its Streaming Agents platform, which now includes features like Agent Definition and a Real-Time Context Engine, aimed at simplifying the development of event-driven AI agents.
Confluent also launched its Private Cloud solution, targeting regulated industries that require on-premises data streaming with regulatory compliance. This solution aims to combine the agility of cloud computing with the security of private infrastructure. In terms of financial performance, Confluent reported a 19% year-over-year revenue growth in the third quarter, surpassing consensus estimates by 2%.
Following this strong performance, FBN Securities raised its price target for Confluent to $28, maintaining an Outperform rating. Stifel also adjusted its price target to $25, citing improved cloud performance and a solid quarter with notable cloud upside. Both firms noted the company’s progress in new use cases and late-stage pipeline progression.
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