- Autodesk has raised its fiscal year adjusted earnings per share (EPS) forecast to a range of $8.29 to $8.35, previously seen at $8.18 to $8.31.
- The revenue forecast for the fiscal year is now projected at $6.12 billion to $6.13 billion, a slight improvement from the previous range.
- Fiscal year billings are anticipated to be $5.90 billion to $5.98 billion, exceeding earlier estimates.
- Autodesk expects an adjusted operating margin of 35.5% to 36%, slightly up from earlier guidance.
- Free cash flow is projected between $1.47 billion and $1.50 billion, in line with prior estimates.
- For the fourth quarter, Autodesk forecasts revenue of $1.62 billion to $1.64 billion.
- In the third quarter, Autodesk reported an adjusted EPS of $2.17, beating the previous year’s $2.07 and the estimated $2.13.
- Total net revenue for the third quarter grew 11% year over year to $1.57 billion, surpassing the expected $1.56 billion.
- Subscription net revenue also rose 11% year over year, meeting the $1.46 billion estimate.
- Maintenance net revenue fell 25% year over year, coming in below the $11.3 million estimate.
- Other net revenue increased by 18% year over year, exceeding expectations at $104 million.
- Adjusted operating income for the third quarter was $573 million, a growth of 4.8% year over year.
- The adjusted operating margin stood at 36%, consistent with estimates but lower compared to last year.
- The third quarter free cash flow significantly improved to $199 million from last year’s $13 million.
- The company continues to manage share dilution through strategic capital deployment and has extended its stock repurchase program.
- Analysts’ recommendations for Autodesk include 17 buys, 10 holds, and 1 sell.
Autodesk Inc on Smartkarma
Independent analysts on Smartkarma have been closely monitoring Autodesk Inc, a leading design software and services company, providing valuable insights to investors. Baptista Research, in their analysis titled “Autodesk Inc.: Expansion into Digital Transformation Solutions & Use Of AI-ML To Drive Growth! – Major Drivers,” highlighted the company’s impressive second-quarter results in Fiscal Year 2025. The 13% revenue growth in constant currency and upward revision of full-year guidance demonstrate the success of Autodesk’s new transaction model. Baptista Research is focusing on evaluating various factors that could impact the company’s stock price in the near future, employing a Discounted Cash Flow methodology for independent valuation.
In another report by Baptista Research titled “Autodesk Inc.: The Recent Acquisitions Of Wonder Dynamics & Payapps Enhancing Their Value Proposition? – Major Drivers,” analysts emphasized Autodesk’s strong financial performance in the Fourth Quarter and Full Year Fiscal 2024. The company’s 14% constant currency revenue growth and emphasis on subscription-based models and customer diversification have been key factors driving resilience. Autodesk’s recent acquisitions of Wonder Dynamics and Payapps have further enhanced its value proposition, as highlighted in their earnings call showcasing significant growth and strong renewal rates in new business.
A look at Autodesk Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Autodesk Inc has a promising long-term outlook. With a Momentum score of 5, indicating strong positive price trends, the company is showing significant upward movement. Additionally, the Growth and Resilience scores of 3 suggest a moderate level of future growth potential and resilience to market fluctuations. However, Autodesk falls short in terms of Value and Dividend scores, with ratings of 2 and 1 respectively.
Autodesk, Inc. is a leading provider of PC software and multimedia tools with a wide range of applications in industries such as architectural design, mechanical design, geographic information systems, and visualization. The company’s global presence through a network of dealers and distributors enables widespread distribution of its innovative two-dimensional and three-dimensional products. Despite some areas for improvement in terms of value and dividends, Autodesk’s strong momentum and growth potential position it well for the future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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