Confluent downgraded to Sector Perform at Scotiabank as checks drive caution

As previously reported, Scotiabank analyst Nick Altmann downgraded Confluent to Sector Perform from Outperform with a price target of $21, down from $32. Checks with partners and customers have made him "incrementally cautious" as they indicate Confluent is getting de-prioritized among IT decision makers, Altmann tells investors. Pipeline and spending commentary suggest that net-new business activity continues to face pressure and lead him to believe the stock is fairly priced given the deteriorating demand environment, Altmann added.