Raymond James has downgraded Confluent Inc (CFLT) to Market Perform from Outperform, reflecting a shift in sentiment regarding the company's outlook. This decision, announced on December 8, 2025, comes as the technology firm, known for its data infrastructure platform focused on data in motion, faces potential competitive pressures and execution risks.
Confluent, headquartered in Mountain View, California, went public on June 24, 2021, and currently boasts a market capitalization of $10.4 billion. The company employs approximately 3,060 full-time staff and offers solutions that enable agile development across multi-cloud and hybrid infrastructures. Despite recent earnings surprises—such as a Q3 2025 EPS of $0.13, exceeding estimates by 31.3%—the downgrade suggests analysts are exercising caution amid evolving market conditions.
As of December 1, 2025, the analyst consensus on Confluent remains a Buy, with 8 Strong Buy, 20 Buy, and 10 Hold ratings among 39 total analysts. Upcoming earnings reports are scheduled for April 28, 2026, with an estimated EPS of $0.10 and revenue of $322.1 million, and July 28, 2026, with an EPS estimate of $0.12 and revenue of $335.5 million.
Analyst ratings, while informative, represent professional opinions based on various assumptions and financial models. Investors are encouraged to consider a wide range of factors, including company fundamentals and market trends, when making investment decisions. Analyst opinions can change as new information becomes available, and differing views may exist within the analyst community.