Equity Profile

BRZE

Braze, Inc.

Information TechnologyApplication Software$3.3B

Sep3Thu

Pre-Earnings Brief

UpcomingQ2-2027After Close5:00 PM EDT

Company Snapshot

Braze, Inc. is a technology company that specializes in application software, providing customer engagement solutions for businesses....

Key Metrics to Watch

Customer Growth Rate

This metric indicates how effectively Braze is expanding its customer base, which is crucial for revenue growth.

N/A

Average Revenue Per User (ARPU)

ARPU helps assess how much revenue Braze is generating from each customer, reflecting the company's pricing power and customer value.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

BRZE Q2-2027 Earnings Preview

Context

Company Snapshot

Braze, Inc. is a technology company that specializes in application software, providing customer engagement solutions for businesses. With a market cap of $3 billion, Braze plays a significant role in helping companies enhance their customer interactions through data-driven marketing strategies, which is increasingly important in today's digital landscape.

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+138.03%

Avg Stock Reaction

-0.46%

Last Quarter Recap

In the last quarter, Braze reported an earnings per share (EPS) of $0.10, significantly beating analyst expectations. However, the stock declined by 3.42% the following day, indicating some market skepticism despite the positive surprise.

Management Promises & Guidance

Focus on expanding customer engagement solutions.
Commitment to enhancing product features and capabilities.
Plans to invest in marketing to drive customer acquisition.

Expectations

Wall Street Expectations

Overall, expectations are mixed as Braze has consistently beaten EPS estimates in recent quarters, yet the stock has reacted negatively post-earnings announcements. Investors are keen to see if this trend continues.

Bull Case

The optimistic view hinges on Braze maintaining its strong customer growth and ARPU, which could lead to higher revenues and a positive market reaction.

Bear Case

The pessimistic outlook is based on potential concerns about customer retention and increased competition in the application software space, which could negatively impact future growth.

Expectations

Two Questions That Matter

The print will turn on these two things.

What is the current customer growth rate and how does it compare to previous quarters?

This will indicate whether Braze is successfully attracting new customers in a competitive market, which is essential for future revenue.

What is the churn rate for the last quarter?

Understanding customer retention will help gauge the effectiveness of Braze's engagement strategies and overall customer satisfaction.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating Braze's ability to retain customers and grow its user base, given its strong historical performance in beating EPS estimates.

Supporting Evidence

Braze has consistently surprised on EPS, indicating stronger underlying business performance than anticipated.

Despite recent stock declines, the company has shown resilience in customer acquisition and engagement.

Options pricing suggests significant volatility, which may reflect investor uncertainty rather than a lack of confidence in Braze's fundamentals.

Key Risk

If customer growth exceeds 30%, it could challenge the current cautious sentiment and lead to a re-evaluation of Braze's growth potential.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

This quarter's performance is critical as it will reveal whether Braze can sustain its growth trajectory amidst increasing competition.

Bull Confirmed If

A customer growth rate exceeding 25% would confirm the bull case, indicating strong demand for Braze's solutions.

Bear Confirmed If

A churn rate above 10% would confirm the bear case, suggesting potential issues with customer satisfaction and retention.

Pre-Earnings Positioning

Options Market

Implied Move

±43.5%

Historical Avg

±2.4%

Pricing rich

The options market is pricing in a significant potential movement in Braze's stock price, suggesting heightened uncertainty ahead of the earnings report.

Options are pricing ±43.5% while BRZE has averaged ±2.4% over the last 8 prints — setup is pricing rich.

Detail

ATM IV

0.8%

30d HV

71.8%

Calls (678K)P/C Ratio: 0.26Puts (211K)

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If Braze beats expectations and raises guidance, history suggests the stock could see a positive reaction, averaging a 2.35% increase.

In-Line / Cautious

If results are in line with expectations but management expresses caution, the stock may experience a muted reaction, reflecting investor uncertainty.

Miss

If Braze misses estimates, history suggests a potential decline in stock price, with an average move of -0.46% following such outcomes.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on customer acquisition strategies and their effectiveness.
2Details on product enhancements and new features being rolled out.
3Insights into competitive pressures and how Braze plans to address them.
4Any commentary on long-term growth targets and market opportunities.
5Management's perspective on customer satisfaction and retention efforts.

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Company Snapshot

Braze, Inc. is a technology company that specializes in application software, providing customer engagement solutions for businesses....

Key Metrics to Watch

Customer Growth Rate

This metric indicates how effectively Braze is expanding its customer base, which is crucial for revenue growth.

N/A

Average Revenue Per User (ARPU)

ARPU helps assess how much revenue Braze is generating from each customer, reflecting the company's pricing power and customer value.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

BRZE Q2-2027 Earnings Preview

Context

Company Snapshot

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+138.03%

Avg Stock Reaction

-0.46%

Last Quarter Recap

Management Promises & Guidance

Focus on expanding customer engagement solutions.
Commitment to enhancing product features and capabilities.
Plans to invest in marketing to drive customer acquisition.

Expectations

Wall Street Expectations

Bull Case

The optimistic view hinges on Braze maintaining its strong customer growth and ARPU, which could lead to higher revenues and a positive market reaction.

Bear Case

The pessimistic outlook is based on potential concerns about customer retention and increased competition in the application software space, which could negatively impact future growth.

Expectations

Two Questions That Matter

The print will turn on these two things.

What is the current customer growth rate and how does it compare to previous quarters?

This will indicate whether Braze is successfully attracting new customers in a competitive market, which is essential for future revenue.

What is the churn rate for the last quarter?

Understanding customer retention will help gauge the effectiveness of Braze's engagement strategies and overall customer satisfaction.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating Braze's ability to retain customers and grow its user base, given its strong historical performance in beating EPS estimates.

Supporting Evidence

Braze has consistently surprised on EPS, indicating stronger underlying business performance than anticipated.

Despite recent stock declines, the company has shown resilience in customer acquisition and engagement.

Options pricing suggests significant volatility, which may reflect investor uncertainty rather than a lack of confidence in Braze's fundamentals.

Key Risk

If customer growth exceeds 30%, it could challenge the current cautious sentiment and lead to a re-evaluation of Braze's growth potential.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

This quarter's performance is critical as it will reveal whether Braze can sustain its growth trajectory amidst increasing competition.

Bull Confirmed If

A customer growth rate exceeding 25% would confirm the bull case, indicating strong demand for Braze's solutions.

Bear Confirmed If

A churn rate above 10% would confirm the bear case, suggesting potential issues with customer satisfaction and retention.

Pre-Earnings Positioning

Options Market

Implied Move

±43.5%

Historical Avg

±2.4%

Pricing rich

The options market is pricing in a significant potential movement in Braze's stock price, suggesting heightened uncertainty ahead of the earnings report.

Options are pricing ±43.5% while BRZE has averaged ±2.4% over the last 8 prints — setup is pricing rich.

Detail

ATM IV

0.8%

30d HV

71.8%

Calls (678K)P/C Ratio: 0.26Puts (211K)

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If Braze beats expectations and raises guidance, history suggests the stock could see a positive reaction, averaging a 2.35% increase.

In-Line / Cautious

If results are in line with expectations but management expresses caution, the stock may experience a muted reaction, reflecting investor uncertainty.

Miss

If Braze misses estimates, history suggests a potential decline in stock price, with an average move of -0.46% following such outcomes.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on customer acquisition strategies and their effectiveness.
2Details on product enhancements and new features being rolled out.
3Insights into competitive pressures and how Braze plans to address them.
4Any commentary on long-term growth targets and market opportunities.
5Management's perspective on customer satisfaction and retention efforts.