FRSH Freshworks Inc.
High-Growth Software
F 30.0 / 100 pillar composite

AlphaQuality composite grade, weighted for high-growth software businesses.

⚠ 4 of the last 5 fiscal years showed negative net income — AlphaQuality will not grade above F for persistent unprofitability in a high-growth software business.

Grade overrides the 30.0 pillar composite — hard gates always win.

Profitability

Weight: 15%
D- 30
  • 5yr Avg ROIC -10.4%
  • Operating Margin Trend +14.13 pp/yr

Capital Efficiency

Weight: 15%
F 7
  • 5yr Avg ROE -8.2%
  • 5yr Share-Count CAGR 3.0%

Growth Quality

Weight: 35%
A+ 100
  • 5yr Revenue CAGR 27.4%
  • Revenue-Growth Years (5) 5/5

Cash Generation

Weight: 20%
A- 84
  • 5yr FCF Margin 12.0%
  • 5yr FCF/NI Conversion 1.33x

Balance Sheet

Weight: 10%
A- 84
  • Net Debt / EBITDA -6.67x
  • Interest Coverage (EBIT/Int) 30.00x
  • Altman Z-Score 1.90

Stability

Weight: 5%
C+ 58
  • EPS Volatility (σ/μ) 0.62
  • Negative-Revenue Years (5) 0/5
  • Piotroski F-Score 7

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Dumping

3 of 3 gurus held; 1 new buy; 2 trimmed; 1 full exit.

Holders
3
Avg Δ position
-50.3%
New buys
1
Full exits
1
As of Q2 2026