Should You Buy This US Mid Cap Stock-CFLT

Acrobull UK Advisory Services Ltd.

May 07			2025
Name	Ticker	Sector/Industry		Market Cap	Risk Factor
Confluent Inc.	CFLT-NASDAQ	Technology		$6.716 Billion	Medium

Confluent, Inc. operates a data streaming platform in the United States and internationally. The company provides platforms that allow customers to connect their applications, systems, and data layers comprising Confluent Cloud, a managed cloud-native software-as-a-service (SaaS); and Confluent Platform.

Recent Highlights

CEO Statement- Confluent started the year with solid momentum, achieving subscription revenue growth of 26% year over year,” said Jay Kreps, co-founder and CEO, Confluent.

Our growth at scale amid heightened macroeconomic uncertainty demonstrates the mission-critical nature of data streaming and our significant product leadership. We remain laser-focused on enabling our customers to cost-efficiently build next-generation applications and win in the age of AI.

First Quarter 2025 Highlights

The company reported revenue was USD 271.12 million compared to USD 217.24 million a year ago. Revenue was USD 271.12 million compared to USD 217.24 million a year ago.
Net loss was USD 67.57 million compared to USD 92.97 million a year ago. Basic loss per share from continuing operations was USD 0.2 compared to USD 0.3 a year ago.

This quarterly report shows an earnings surprise of 14.29%. In the previous quarter, analysts had anticipated earnings of $0.05 per share, but the company reported $0.09 per share, resulting in a surprise of 80%.

Confluent (CFLT) reported quarterly earnings of $0.08 per share, surpassing the Zacks Consensus Estimate of $0.07 per share. This is an increase compared to earnings of $0.05 per share from the same period last year. These results have been adjusted for non-recurring items.

Stock Observation- The company has reported very good financial results in the first quarter however the company overall fundamentals remain strong hence positive results are expected in the next quarter. The RSI level for the stock is at 43 showing oversold conditions.

Risk Involved- Financial performance of the company may have an impact on the company stock performance.

Considering all the factors and financials of the company Acrobull UK maintains Buy for the stock.

Disclaimer- Though our research is fundamentally and technically based on Acrobull UK only provides general advice on the stocks and it is imperative for the investors to do the risk assessment for themselves before investing as Acrobull UK would not be liable for any loss or profit arising out through the investment made by the investors on our recommendations.

It is also advisable for the investors to consult with Financial Advisor, Broker or to seek any legal assistance as the research conducted by Acrobull UK is factually based and recommendations are given in accordance with that, but it is imperative to understand that Acrobull UK does not guarantee returns.

Acrobull UK Recommendation Based on Evaluation

Current Market Price	$19.73 USD
Acrobull Recommendation	Buy
Target Price	$23.50 USD
RSI Level	14 Day RSI 42
Total Shares Outstanding	286.33 Million
Shares held by Insiders Risk Factor Stop Loss	3.42% Medium 5%