Marketdash
Back to News

Autodesk's Q3 Earnings Preview: Solid Growth in Key Areas Despite Modest Headwinds

MarketDash Editorial Team
14 days ago
Autodesk is poised to deliver Q3 results that land within guidance but slightly below Wall Street expectations, with strong performance in architecture and AutoCAD offsetting some mechanical design weakness tied to European tariff uncertainty.

Autodesk Inc. (ADSK) reports third-quarter earnings on Tuesday, and the setup is pretty straightforward: results should land comfortably within the company's guidance range, even if they come in a hair below what analysts were hoping for.

According to Rosenblatt Securities analyst Blair Abernethy, who maintains a Buy rating and $355 price target on the stock, the design software giant is on track to post quarterly revenue of about $1.804 billion. That's just shy of the $1.806 billion consensus estimate, but well within the company's own $1.80 billion to $1.81 billion guidance range.

The real story is where that 15% year-over-year revenue growth is coming from. Abernethy expects the AEC (architecture, engineering, and construction) segment to power forward with 20% growth, while AutoCAD should deliver a respectable 9% increase. Those are solid numbers that show Autodesk's core franchises remain healthy.

On the earnings side, look for non-GAAP earnings per share of $2.49, slightly below the $2.50 consensus but again within guidance of $2.48 to $2.51 per share.

The softer spots? Mechanical design products like Inventor and general design tools are feeling some pressure. "In mechanical (Inventor) and general design (AutoCAD/LT), we expect an in-line Q3 and likely a tempered outlook as seen by competitors, in part due to tariff-related macro turmoil in Europe causing customer caution and somewhat longer buying cycles," Abernethy noted.

Translation: European customers are hitting pause while they figure out the tariff situation, which means sales cycles are stretching out. Not catastrophic, just slower.

Autodesk shares closed down 0.14% at $290.39 on Monday. With a market cap of $62.13 billion and a P/E ratio north of 60, investors are clearly betting on continued growth despite the near-term choppiness. The stock has ranged between $232.67 and $329.09 over the past year, and it's currently trading much closer to the high end of that range—a sign that market confidence in Autodesk's long-term prospects remains strong, even without a dividend yield to sweeten the deal.

Back to News

Autodesk's Q3 Earnings Preview: Solid Growth in Key Areas Despite Modest Headwinds

MarketDash Editorial Team
14 days ago
Autodesk is poised to deliver Q3 results that land within guidance but slightly below Wall Street expectations, with strong performance in architecture and AutoCAD offsetting some mechanical design weakness tied to European tariff uncertainty.

Autodesk Inc. (ADSK) reports third-quarter earnings on Tuesday, and the setup is pretty straightforward: results should land comfortably within the company's guidance range, even if they come in a hair below what analysts were hoping for.

According to Rosenblatt Securities analyst Blair Abernethy, who maintains a Buy rating and $355 price target on the stock, the design software giant is on track to post quarterly revenue of about $1.804 billion. That's just shy of the $1.806 billion consensus estimate, but well within the company's own $1.80 billion to $1.81 billion guidance range.

The real story is where that 15% year-over-year revenue growth is coming from. Abernethy expects the AEC (architecture, engineering, and construction) segment to power forward with 20% growth, while AutoCAD should deliver a respectable 9% increase. Those are solid numbers that show Autodesk's core franchises remain healthy.

On the earnings side, look for non-GAAP earnings per share of $2.49, slightly below the $2.50 consensus but again within guidance of $2.48 to $2.51 per share.

The softer spots? Mechanical design products like Inventor and general design tools are feeling some pressure. "In mechanical (Inventor) and general design (AutoCAD/LT), we expect an in-line Q3 and likely a tempered outlook as seen by competitors, in part due to tariff-related macro turmoil in Europe causing customer caution and somewhat longer buying cycles," Abernethy noted.

Translation: European customers are hitting pause while they figure out the tariff situation, which means sales cycles are stretching out. Not catastrophic, just slower.

Autodesk shares closed down 0.14% at $290.39 on Monday. With a market cap of $62.13 billion and a P/E ratio north of 60, investors are clearly betting on continued growth despite the near-term choppiness. The stock has ranged between $232.67 and $329.09 over the past year, and it's currently trading much closer to the high end of that range—a sign that market confidence in Autodesk's long-term prospects remains strong, even without a dividend yield to sweeten the deal.

    Autodesk's Q3 Earnings Preview: Solid Growth in Key Areas Despite Modest Headwinds - MarketDash News