DA Davidson has released its Q3 2025 earnings forecast for Confluent, Inc. (NASDAQ:CFLT), signaling crucial insights for investors tracking the data streaming giant. Analyst R. Kessinger anticipates Confluent will post earnings of ($0.15) per share for the quarter, an estimate that sets a new benchmark for market expectations and shapes the narrative around the company’s immediate financial trajectory.
The investment firm currently holds a “Buy” rating on Confluent stock, underscoring confidence in its future performance, coupled with a $24.00 target price. This positive outlook from DA Davidson contrasts with the broader consensus estimate for Confluent’s current full-year earnings, projected at ($0.83) per share, providing a nuanced perspective on the company’s financial health.
Examining past performance, Confluent’s previous earnings results on July 30th saw the company report $0.09 EPS, surpassing analyst consensus estimates by $0.01. Furthermore, quarterly revenue reached $282.29 million, exceeding the $278.32 million consensus and marking a significant 20.1% increase compared to the same period last year, demonstrating robust growth in its core business operations.
Despite strong revenue growth, Confluent’s financial metrics reveal a negative net margin of 29.27% and a negative return on equity of 27.34%, indicative of ongoing investments in growth. The company’s current market capitalization stands at $5.85 billion, with a PE ratio of -18.30 and a beta of 0.99, highlighting its position within current stock market trends and investor sentiment.
Further financial analysis shows Confluent’s stock opened at $17.20, with a one-year low of $16.56 and a high of $37.90, reflecting its volatility and potential for investor insights. The firm’s 50-day moving average price is $24.34, and its 200-day moving average price is $25.37, providing technical indicators for prospective investors. Liquidity ratios include a debt-to-equity ratio of 1.03, a quick ratio of 4.42, and a current ratio of 3.98, signaling a solid financial standing despite the negative profitability metrics.
Institutional investors have actively adjusted their positions in Confluent stock. Notably, ProShare Advisors LLC, Commonwealth Equity Services LLC, Amalgamated Bank, GAMMA Investing LLC, and Jasper Ridge Partners L.P. have all either boosted or adjusted their holdings. These moves collectively contribute to institutional investors and hedge funds owning a substantial 78.09% of the company’s stock, underscoring significant institutional confidence.
Recent insider trading activity also provides key investor insights into Confluent’s prospects. The CEO sold 232,500 shares for over $5.6 million, and the CAO sold 3,575 shares, totaling approximately $83,976.75. These transactions represent a notable decrease in their direct ownership, with corporate insiders collectively owning 9.20% of the company’s stock, and warrant close attention from those tracking Confluent’s trajectory.
