Morgan Stanley Slashes Asana (ASAN) Price Target to $13, Keeps Underweight Rating

On June 4, Morgan Stanley analyst Josh Baer lowered the firm’s price target on Asana, Inc. (NYSE:ASAN) to $13 from $14 and kept an Underweight rating on the shares.

The rating update came after the company announced fiscal Q1 2026 results on June 3, with revenue reaching $187.3 million, reflecting a 9% year-over-year growth. GAAP operating loss for the quarter was $43.9 million, or 23% of revenues, compared to GAAP operating loss of $66.2 million, or 38% of revenues, in fiscal Q1 2025.

A close-up of a computer monitor with an open work management platform software.

The analyst told investors in a research note that while Asana AI is “interesting,” it is too early “to move the needle.” He further said that net retention rates are likely to stay in the mid-90s range at least in the coming three quarters, which “creates a tough path for growth through FY26 and into FY27.”

Asana, Inc. (NYSE:ASAN) develops a work management platform that enables organizations to manage and streamline their work, ranging from daily tasks to cross-functional strategic initiatives.

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Disclosure: None.