Investing.com -- Autodesk's second-quarter results were mostly well above consensus, while the software group's recent outlook upgrade points to "momentum" in the business, according to analysts at Citi Research.
The San Francisco-based company, which is facing pressure from activist investor Starboard Value, increased its fiscal 2025 revenue and profit forecast last week thanks in part to strong customer spending on its design software.
Autodesk (NASDAQ:ADSK) now expects to post full-year revenue of $6.08 billion to $6.13 billion, up from a prior estimate of $5.99 billion to $6.09 billion. Annual adjusted earnings per share are also seen at $8.18 to $8.31 versus its previous forecast of $7.99 to $8.21.
Second-quarter revenue of $1.51 billion and net income of $1.30 per share both topped expectations as well.
In a note to clients on Monday raising their price target for Autodesk's shares to $325 from $316, the analysts said that the returns pointed to "signs of macro/demand resiliency with incremental upside on margins."
"Overall the updated outlook looks strong with operational resiliency and stronger margin expansion," the analysts added.