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On Tuesday, Truist Securities expressed continued confidence in OneStream Inc. (NASDAQ: OS), maintaining a Buy rating and a $31.00 price target. Currently trading at $28.39, OneStream has garnered strong analyst support, with InvestingPro data showing 8 analysts recently revising their earnings estimates upward. The firm’s analyst, Terry Tillman, attended the company’s 2025 Splash customer conference, which took place in Nashville, and shared insights from the event.
Tillman’s engagement with five customers and one prospect at the conference reinforced his positive outlook on OneStream’s future. The company has demonstrated strong performance with revenue growth of 26.8% and a healthy gross profit margin of 63.4% in the last twelve months. He noted that the discussions led to an increased confidence in the company’s ability to sustain the highest subscription revenue growth rate among its peers in the Office of CFO software sector. Additionally, he anticipates that OneStream will be able to expand its profitability and cash flow, with analysts forecasting the company to become profitable this year.
The analyst’s report, which he referred to as Volume 1 of a multi-part Splash mini-series, highlights the experiences of customers and prospects with OneStream’s offerings. Tillman’s observations from the conference suggest that the company is well-positioned to continue its growth trajectory.
In his commentary, Tillman stated, "Post our conversations, we are incrementally confident in the company sustaining the highest subscription revenue growth rate across public Office of CFO software comps while expanding profitability and cash flow." He emphasized the company’s strong performance and potential by reiterating the Buy rating and $31 price target.
OneStream, known for its financial performance management software, has been making strides in the industry, and the positive feedback from the Splash customer conference seems to indicate a solid user base and a promising outlook. The company maintains a strong financial position with a current ratio of 2.34 and more cash than debt on its balance sheet. With the analyst’s reaffirmed support, OneStream’s stock could potentially reflect investor confidence in the company’s growth and profitability strategies. For deeper insights into OneStream’s valuation and growth potential, InvestingPro subscribers can access comprehensive analysis and additional key metrics in the Pro Research Report, along with 10+ more exclusive ProTips.
In other recent news, OneStream Inc. has been making significant strides with its financial performance and strategic initiatives. The company reported a notable revenue increase of over 30% in 2024, highlighting its strong growth trajectory. At its recent Splash user conference in Nashville, OneStream introduced several new products aligned with its "Three Pillar" growth strategy, which aims to accelerate customer acquisition and expand existing business. Piper Sandler responded by raising the company’s stock price target to $34, maintaining an Overweight rating, and expressing optimism about OneStream’s potential to double its annual recurring revenue within the next four years.
Additionally, Mizuho (NYSE:MFG) Securities increased its price target for OneStream to $33, citing the company’s transition into an AI-powered platform for finance and operations. The firm emphasized OneStream’s potential to replace legacy systems, with a total addressable market estimated at around $10 billion. Needham also maintained its Buy rating and $38 price target, noting OneStream’s focus on generative AI functionality and real-time data leverage as key differentiators in the market.
OneStream’s recent launch of the SensibleAI™ portfolio, which includes AI tools like SensibleAI Agents and SensibleAI Forecast, underscores its commitment to enhancing forecasting, risk identification, and decision-making for finance teams. These tools are designed to streamline financial operations and provide practical AI capabilities to navigate economic volatility. The company’s strategic initiatives and product innovations have resonated positively with analysts, as evidenced by the recent upgrades and maintained ratings from several firms.
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