Is Asana Inc. (ASAN) positioned for future growth?

Asana Inc. (NYSE: ASAN) stock fell -1.91% on Thursday to $20.53 against a previous-day closing price of $20.93. With 1.74 million shares changed hands, the volume of the stock remained lighter than its average volume of 2.79 million shares. The 52-week range on ASAN shows that it touched its highest point at $29.51 and its lowest point at $11.32 during that stretch. It currently has a 1-year price target of $22.54.

Price Performance and Earnings:

Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of ASAN was up-trending over the past week, with a rise of 2.80%, but this was up by 27.04% over a month. Three-month performance surged to 40.23% while six-month performance rose 16.98%. The stock gained 10.79% in the past year, while it has gained 49.09% so far this year. A look at the trailing 12-month EPS for ASAN yields -2.05 with Next year EPS estimates of -0.34. For the next quarter, that number is -0.15. This implies an EPS growth rate of -24.70% for this year and 39.30% for next year.

Float and Shares Shorts:

At present, 214.35 million ASAN shares are outstanding with a float of 79.87 million shares on hand for trading. On Apr 27, 2023, short shares totaled 11.15 million, which was 5.15% higher than short shares on Mar 30, 2023. In addition to ASAN as the firm’s Asana, Inc., SAN serves as its Banco Santander, S.A. Sponsored.

Institutional Ownership:

Other institutions hold 43.80% of ASAN, in contrast to 22.87% held by mutual funds. Shares owned by individuals account for 18.71%. As the largest shareholder in ASAN with 5.77% of the stake, The Vanguard Group, Inc. holds 7,436,146 shares worth 7,436,146. A second-largest stockholder of ASAN, Champlain Investment Partners LLC, holds 6,566,004 shares, controlling over 5.09% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in ASAN, holding 5,023,771 shares or 3.90% stake. With a 1.85% stake in ASAN, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 2,386,639 shares are owned by the mutual fund manager. The Vanguard Small Cap Index Fund, which owns about 1.55% of ASAN stock, is the second-largest Mutual Fund holder. It holds 2,000,110 shares valued at 32.36 million. Champlain Mid Cap Fund holds 1.52% of the stake in ASAN, owning 1,960,000 shares worth 31.71 million.

An Overview of Recent Financials:

Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jan 30, 2023, ASAN reported revenue of $120.65M and operating income of -$96.23M. The EBITDA in the recently reported quarter was -$93.13M and diluted EPS was -$0.52.

Analysts Ratings:

Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for ASAN since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With ASAN analysts setting a high price target of $30.00 and a low target of $10.00, the average target price over the next 12 months is $22.00. Based on these targets, ASAN could surge 46.13% to reach the target high and fall by -51.29% to reach the target low. Reaching the average price target will result in a growth of 7.16% from current levels.

EPS: Estimates vs Actual

It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.

Summary of Insider Activity:

Insiders traded ASAN stock several times over the past three months with 7 Buys and 4 Sells. In these transactions, 24,205 shares were bought while 25,346 shares were sold. The number of buy transactions has increased to 28 while that of sell transactions has risen to 14 over the past year. The total number of shares bought during that period was 19,374,802 while 48,727 shares were sold.