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On Friday, KeyBanc Capital Markets updated its outlook on Autodesk (NASDAQ:ADSK), with analyst Jason Celino increasing the price target to $335 from $330, while maintaining an Overweight rating on the shares. The adjustment followed Autodesk’s fourth-quarter earnings call, which presented a mixed view for investors. According to InvestingPro data, Autodesk, currently valued at $61.38 billion, has seen its stock deliver a 10.62% return over the past year.
During the earnings call, Autodesk highlighted a 9% reduction in force (RIF) and provided guidance indicating higher operating margins (OM) and free cash flow (FCF) for fiscal year 2026, which were seen as positive signals by investors. InvestingPro data reveals impressive gross profit margins of 91.98%, though there was notable investor concern regarding the company’s decision to withdraw its previous revenue growth framework of 10-15% without offering new growth or margin targets.
Celino expressed understanding for the strategy of new CFO Janesh Moorjani to "clear the decks," and noted optimism regarding the long-term (LT) margin upside potential implied by Moorjani. Despite these positive indicators, the analyst suggested that Autodesk stock might experience limited short-term (NT) movement as investors wait for the third-quarter investor day for updated mid-term to long-term (MT-LT) growth and margin targets. With analyst targets ranging from $285 to $430, and a consensus recommendation of 1.81 (Buy), professional analysts maintain a positive outlook.Discover 12 additional exclusive insights about Autodesk and access comprehensive financial analysis through InvestingPro’s detailed research reports.
The report emphasized the company’s long-term opportunities, which remain favorable in KeyBanc’s view. The slight increase in the price target reflects the firm’s confidence in Autodesk’s higher projected free cash flow for FY26. The updated financial outlook and strategic changes at Autodesk, which maintains a healthy financial score according to InvestingPro metrics, are key factors influencing KeyBanc’s continued positive stance on the stock.
In other recent news, Autodesk Inc . reported its fourth-quarter 2025 financial results, surpassing analyst expectations. The company achieved an earnings per share (EPS) of $2.29, exceeding the forecast of $2.14, and reported revenue of $1.64 billion, slightly above the anticipated $1.63 billion. Autodesk’s revenue grew by 12% year-over-year, driven by strong performance in the construction and manufacturing segments. The company also announced plans to repurchase $1.1-$1.2 billion in shares during fiscal 2026. Looking ahead, Autodesk projects 8-9% revenue growth in fiscal 2026, with billings expected to grow by 17-19% in constant currency. The company aims for a non-GAAP operating margin of 39-40% and anticipates free cash flow between $2.075 billion and $2.175 billion. Autodesk remains focused on AI-driven innovations and cloud platform enhancements, bolstering its competitive position in the market.
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