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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Software & services

Autodesk wins ‘Buy’ rating in reinstated coverage by Bank of America analysts

Autodesk Inc (NASDAQ:ADSK) coverage was reinstated with a ‘Buy’ rating by Bank of America Securities, which assigned a $300 price target, implying roughly 27% upside from current levels.

Bank of America said its positive view is based on Autodesk’s resilience to artificial intelligence disruption and its positioning in design and creation software.

The firm highlighted the company’s current guidance of about 9.5% revenue growth and said there is potential for upside if execution trends continue to improve in coming quarters.

The analysts pointed to Autodesk’s long-term investment in 3D design data, geometry, and industry-specific workflows, arguing these assets create structural advantages that are difficult for general-purpose AI models to replicate.

They also noted Autodesk has been building internal AI capabilities for more than a decade, which they see as a differentiator versus peers that have only recently increased investment in the space.

Rather than viewing AI as a threat, Bank of America characterized it as a potential growth driver. The note said AI-enabled features could expand product usage and deepen customer engagement, citing tools such as AutoConstrain, which has reportedly seen strong adoption.

The firm also raised the possibility of tiered pricing and usage-based billing for AI workloads, which could support higher average selling prices over time.

Looking ahead, Bank of America expects Autodesk to deliver revenue growth in the low double digits over the next two fiscal years, projecting approximately 13% and 10% year-over-year growth.

The analysts also see potential for billings growth to accelerate in the second half of fiscal 2027, supported by operational improvements and ongoing business model changes.

The $300 price target is based on a 21x multiple of calendar year 2027 estimated enterprise value to free cash flow.

Shares of Autodesk traded hands at $238 on Tuesday afternoon.

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