Braze, Inc.

BRZE

TechnologySoftware - ApplicationNASDAQ

$19.43

Market Cap: $2.20B

Braze, Inc. (BRZE) Valuation Summary

Updated Apr 14, 2026 22:15

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$0.39 – $16.12	$0.39	-98.1%
Revenue DCF 10Y	$2.39 – $34.28	$4.72	-77.0%
▸ Trading Multiples
EV/Revenue	$11.71 – $35.00	$15.63	-23.8%

Valuation History

DCF Analysis

Braze, Inc. (BRZE) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$4.72

Market Price

$19.43

Upside / Downside

-75.7%

Verdict

Overvalued

Using a Revenue DCF model with operating margin convergence from -18.0% to a target of 10.1% over 5 years, discounted at a WACC of 9.0%, Braze, Inc. (BRZE) has an intrinsic value of $4.72 per share (range: $2.39 – $34.28).

Key Assumptions

Current Operating Margin

-18.0%

Target Operating Margin

10.1%

WACC

9.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

2.4%

Target CapEx/Rev

6.0%

D&A/Revenue

2.3%

Tax Rate

21.0%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2027	888	20.2%	-12.4%	-110	-110	20	(25)	75	-190	-182
2028	1,038	16.9%	-6.8%	-70	-70	23	(33)	33	-113	-99
2029	1,216	17.2%	-1.1%	-14	-14	27	(43)	39	-68	-55
2030	1,332	9.5%	4.5%	59	47	30	(51)	26	-0	-0
2031	1,477	10.9%	10.1%	149	118	33	(62)	32	57	38
2032	1,887	27.8%	10.1%	190	150	42	(86)	90	16	10
2033	2,317	22.8%	10.1%	233	184	52	(114)	95	27	16
2034	2,731	17.9%	10.1%	275	217	61	(144)	91	43	23
2035	3,083	12.9%	10.1%	311	245	69	(174)	78	63	30
2036	3,328	8.0%	10.1%	335	265	75	(200)	54	86	38

Enterprise Value Bridge

Sum of PV(FCFF)-181

Terminal Value (Gordon Growth at 3.0%)1,473

PV of Terminal Value649

Enterprise Value468

(–) Net Debt-42

Equity Value509

(÷) Shares Outstanding108

Fair Value per Share$4.72

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.1%	7.1%	10.1%	13.1%	16.1%
7.0%	$-6	$-3	$10	$22	$34
8.0%	$-6	$-3	$7	$16	$26
9.0%	$-6	$-3	$5	$12	$20
10.0%	$-6	$-3	$3	$10	$16
11.0%	$-5	$-3	$2	$8	$13

Current price: $19.43. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 22.1% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Braze, Inc. (BRZE) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$0.39

Market Price

$19.43

Upside / Downside

-98.0%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-18.0%

Target Operating Margin

10.1%

WACC

9.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

2.4%

Target CapEx/Rev

6.0%

D&A/Revenue

2.3%

Tax Rate

21.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2027	888	20.2%	-12.4%	-110	-110	20	(28)	75	-193	-185
2028	1,038	16.9%	-6.8%	-70	-70	23	(40)	33	-120	-105
2029	1,216	17.2%	-1.1%	-14	-14	27	(56)	39	-82	-66
2030	1,332	9.5%	4.5%	59	47	30	(70)	26	-19	-14
2031	1,477	10.9%	10.1%	149	118	33	(89)	32	30	20

Enterprise Value Bridge

Sum of PV(FCFF)-350

Terminal Value (Gordon Growth at 3.0%)517

PV of Terminal Value350

Enterprise Value1

(–) Net Debt-42

Equity Value43

(÷) Shares Outstanding108

Fair Value per Share$0.39

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.1%	7.1%	10.1%	13.1%	16.1%
7.0%	$-4	$-4	$2	$9	$16
8.0%	$-4	$-4	$1	$7	$12
9.0%	$-4	$-4	$0	$5	$9
10.0%	$-4	$-4	$-0	$4	$7
11.0%	$-4	$-3	$-1	$3	$6

Current price: $19.43. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 22.1% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$15.63

Market Price

$19.43

Upside / Downside

-19.6%

Verdict

Overvalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Braze, Inc. (BRZE) has a fair value of $15.63 based on 8 comparable companies in the Software - Application industry.

EV/Revenue Valuation — Software - Application

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Braze, Inc.BRZE	2,097	2.8x	2.3x
Clear Secure, Inc.YOU	4,644	5.1x	5.9x
NCR Atleos CorporationNATL	3,272	0.7x	0.7x
Grindr Inc.GRND	2,340	6.0x	5.0x
Freshworks Inc.FRSH	2,276	2.0x	2.4x
Pattern Group Inc. Series A Common StockPTRN	2,074	0.7x	0.6x
nCino, Inc.NCNO	2,023	3.7x	4.1x
Blackbaud, Inc.BLKB	1,716	1.8x	1.8x
Asana, Inc.ASAN	1,300	1.7x	1.7x
Industry Median		1.9x	2.1x
(*) Revenue		738	888
= Enterprise Value		1,432	1,858
(-) Net Debt		-42	-42
Equity Value		1,473	1,900
(/) Outstanding shares		108	108
Fair Price		$14	$18

Selected Fair Value (avg of trailing + forward)

$15.63

-19.6%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$0.39 – $16.12

$0.39

-98.1%

Revenue DCF 10Y

$2.39 – $34.28

$4.72

-77.0%

▸ Trading Multiples

EV/Revenue

$11.71 – $35.00

$15.63

-23.8%

DCF Analysis

Braze, Inc. (BRZE) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$4.72

Market Price

$19.43

Upside / Downside

-75.7%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-18.0%

Target Operating Margin

10.1%

WACC

9.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

2.4%

Target CapEx/Rev

6.0%

D&A/Revenue

2.3%

Tax Rate

21.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2027	888	20.2%	-12.4%	-110	-110	20	(25)	75	-190	-182
2028	1,038	16.9%	-6.8%	-70	-70	23	(33)	33	-113	-99
2029	1,216	17.2%	-1.1%	-14	-14	27	(43)	39	-68	-55
2030	1,332	9.5%	4.5%	59	47	30	(51)	26	-0	-0
2031	1,477	10.9%	10.1%	149	118	33	(62)	32	57	38
2032	1,887	27.8%	10.1%	190	150	42	(86)	90	16	10
2033	2,317	22.8%	10.1%	233	184	52	(114)	95	27	16
2034	2,731	17.9%	10.1%	275	217	61	(144)	91	43	23
2035	3,083	12.9%	10.1%	311	245	69	(174)	78	63	30
2036	3,328	8.0%	10.1%	335	265	75	(200)	54	86	38

Enterprise Value Bridge

Sum of PV(FCFF)-181

Terminal Value (Gordon Growth at 3.0%)1,473

PV of Terminal Value649

Enterprise Value468

(–) Net Debt-42

Equity Value509

(÷) Shares Outstanding108

Fair Value per Share$4.72

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.1%	7.1%	10.1%	13.1%	16.1%
7.0%	$-6	$-3	$10	$22	$34
8.0%	$-6	$-3	$7	$16	$26
9.0%	$-6	$-3	$5	$12	$20
10.0%	$-6	$-3	$3	$10	$16
11.0%	$-5	$-3	$2	$8	$13

Current price: $19.43. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 22.1% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$15.63

Market Price

$19.43

Upside / Downside

-19.6%

Verdict

Overvalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Braze, Inc. (BRZE) has a fair value of $15.63 based on 8 comparable companies in the Software - Application industry.

EV/Revenue Valuation — Software - Application

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Braze, Inc.BRZE	2,097	2.8x	2.3x
Clear Secure, Inc.YOU	4,644	5.1x	5.9x
NCR Atleos CorporationNATL	3,272	0.7x	0.7x
Grindr Inc.GRND	2,340	6.0x	5.0x
Freshworks Inc.FRSH	2,276	2.0x	2.4x
Pattern Group Inc. Series A Common StockPTRN	2,074	0.7x	0.6x
nCino, Inc.NCNO	2,023	3.7x	4.1x
Blackbaud, Inc.BLKB	1,716	1.8x	1.8x
Asana, Inc.ASAN	1,300	1.7x	1.7x
Industry Median		1.9x	2.1x
(*) Revenue		738	888
= Enterprise Value		1,432	1,858
(-) Net Debt		-42	-42
Equity Value		1,473	1,900
(/) Outstanding shares		108	108
Fair Price		$14	$18

Selected Fair Value (avg of trailing + forward)

$15.63

-19.6%