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Mizuho maintains Neutral rating on Autodesk stock

Published 10/18/2024, 11:36 PM
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Mizuho has reiterated its Neutral rating on Autodesk (NASDAQ:ADSK) with a steady price target of $260.00. The reaffirmation came after Autodesk University 2024, an event that took place this week in San Diego, where Autodesk presented its latest products and innovations, emphasizing cloud and AI technologies.

The annual conference, which was well-received by a large user base, focused on new AI-related product releases and features across Autodesk's industry clouds.

Autodesk's event highlighted Platform Services as the key to its strategy for connected data and workflows. The company also organized an in-person investor relations event where CTO Raji Arasu and D&M EVP Jeff Kinder addressed attendees, alongside a customer panel.

While the discussions with customers and partners indicated a positive response to product adoption, Mizuho noted that there was no significant new information regarding improvements in the broader market demand.

The gathering served as a showcase for Autodesk's commitment to integrating cloud and AI into its services, aligning with the company's vision for the future. Despite the absence of any material information that would suggest changes in the macro demand environment, the interactions at the event were reportedly positive concerning the adoption of Autodesk's products.

Mizuho's stance on Autodesk remains unchanged following the event, as the analyst firm did not perceive any indicators that would warrant a change in the stock's valuation. The $260.00 price target reflects Mizuho's current assessment of Autodesk's market position and future prospects based on the information shared at Autodesk University 2024.

In other recent news, Autodesk showcased new AI/GenAI features at Autodesk University, which sparked significant customer interest despite some uncertainty about implementation. Autodesk reported a 2% increase in revenue and earnings per share of $2.15 for the second quarter, with a free cash flow of $203 million.

This positive financial performance is linked to the company's successful transition to an agency model and a direct customer billing transaction model in North America, which is projected to boost its full-year 2025 revenue growth guidance by 11%.

Several analyst firms have recently updated their views on Autodesk. Citi maintained a Buy rating, BofA Securities raised the price target to $325, and Oppenheimer kept an Outperform rating with a $300 price target. BMO Capital and DA Davidson maintained neutral ratings, with price targets of $287 and $260 respectively.

InvestingPro Insights

Following Autodesk's (NASDAQ:ADSK) recent showcase at Autodesk University 2024, InvestingPro data provides additional context to the company's financial position and market performance. Autodesk's market capitalization stands at $62.48 billion, reflecting its significant presence in the software industry. The company's revenue for the last twelve months as of Q2 2025 was $5,805 million, with a notable revenue growth of 11.38% over the same period.

Autodesk's focus on cloud and AI technologies aligns with its strong financial performance. The company boasts an impressive gross profit margin of 91.92%, underscoring its efficiency in product development and delivery. This high margin is particularly relevant given Autodesk's emphasis on Platform Services and AI-related product releases discussed at the recent event.

InvestingPro Tips highlight that Autodesk has been profitable over the last twelve months, with analysts predicting continued profitability this year. This positive outlook is consistent with the company's strategic initiatives presented at Autodesk University 2024. Additionally, the stock has shown a strong return over the last three months, which may reflect investor confidence in Autodesk's product innovations and market position.

For readers interested in a deeper analysis, InvestingPro offers 15 additional tips for Autodesk, providing a comprehensive view of the company's financial health and market performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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