Asana Shares Climb Nearly 5% on Upbeat Guidance
Strong earnings and a raised full-year forecast overshadow the concurrent announcement of two senior executive departures.
Asana Inc. (NYSE: ASAN) shares surged in trading Tuesday after the work management software company posted third-quarter results that surpassed analyst expectations and raised its financial outlook for the full fiscal year.
The stock climbed 4.9% to close at $13.39 after the company reported a stronger-than-expected quarter and provided an optimistic forecast, signaling confidence in its growth trajectory. The positive market reaction came despite the simultaneous disclosure that two of its top executives, the Chief Operating Officer and General Counsel, are set to depart the company.
For its third quarter of fiscal 2026, Asana announced revenue of $201.0 million, beating the consensus estimate of $198.8 million. The company reported a non-GAAP net profit of $0.07 per share, narrowly topping Wall Street's expectation of $0.06 per share. This marks a significant milestone for the company as it pushes toward sustained profitability in a competitive software market.
Buoyed by the strong performance, Asana raised its full-year guidance. The company now projects fiscal 2026 revenue to be between $780 million and $790 million, up from previous forecasts. It also lifted its non-GAAP earnings per share outlook to a range of $0.23 to $0.25 for the year.
The encouraging financial results overshadowed a significant leadership shuffle. In a concurrent 8-K filing with the Securities and Exchange Commission, Asana revealed that Chief Operating Officer Anne Raimondi and General Counsel Eleanor Lacey will be resigning from their positions, with their departures effective December 31, 2025. The company did not immediately name replacements, and investors appeared to focus more on the operational momentum than the executive suite changes.
"Our strong Q3 results and improved outlook demonstrate our focus on execution and the strategic value of our work management platform," said Dustin Moskovitz, CEO of Asana, in the company's earnings release. "As we continue to drive adoption in the enterprise, our platform is becoming mission-critical for organizations navigating complex cross-functional work."
Asana's platform helps teams organize, track, and manage their work, competing in a crowded field of productivity tools that includes Monday.com, Smartsheet, and Atlassian. The company has been increasingly focused on winning larger enterprise customers and expanding its offerings with artificial intelligence features to drive efficiency.
Despite the bullish investor reaction to the earnings report, Wall Street analysts maintain a cautious stance on the company. The consensus rating among analysts covering the stock remains a "Hold," with an average 12-month price target of $16.11, suggesting limited upside from the current price. Investors will be closely watching whether Asana can maintain its growth and margin improvement in the coming quarters, especially as it navigates a high-level leadership transition.