Autodesk (ADSK) Stock Forecast & Price Target

Autodesk is experiencing robust revenue growth, with expected Q3 totals of $1,804.7 million, reflecting a 15% year-over-year increase, driven primarily by a 20% growth in its Architecture, Engineering, and Construction (AEC) segment and a 9% increase in AutoCAD. Additionally, the company has demonstrated strong billings, which grew by 21% year-over-year, further highlighting the positive momentum in its business model and customer engagements. With an upward adjustment in the FY26 revenue estimate to $7,161 million, representing approximately 16.8% year-over-year growth, Autodesk is well-positioned for continued financial success, supported by ongoing strength in key sectors and its new direct billing model.

Autodesk faces significant headwinds that contribute to a negative outlook, including a modest decline in billings for architecture firms and anticipated challenges related to the transition of its transaction model, which is expected to decline significantly by FY27. Additionally, the company is experiencing weak price momentum, reflecting historically poor medium- to long-term returns and increasing risks tied to global macroeconomic conditions, construction volume contractions, and competition. Furthermore, with ongoing high office vacancy rates in the U.S. and lower-than-expected sales and margin growth projected, commercial design activity is expected to remain subdued, impacting Autodesk’s financial performance through at least 2026.