Freshworks downgraded to Hold on decelerating metrics at Canaccord

Canaccord analyst David Hynes downgraded Freshworks to Hold from Buy with a price target of $15, down from $17. The analyst remains constructive on the longer-term opportunity for Freshworks, particularly with respect to its Freshservice business line, but steps to the sidelines for now in the context of valuation and "still decelerating business metrics. Growth driven by the addition of new seats is increasingly at risk, and Freshworks operates in "well populated markets that are arguably distinguished by other leading firms," Hynes tells investors in a research note.