Autodesk (ADSK) Stock Forecast & Price Target

Autodesk is forecasting total revenue of $1,804.7 million for Q3, reflecting a year-over-year increase of 15%, driven primarily by robust performance in the architecture and construction (AEC) segment, which grew by 20%. The company's total billings also exhibited strong growth, rising 21% year-over-year, with a notable increase in current remaining performance obligations (RPO) reaching $7.36 billion, up 20% from the previous year. Furthermore, Autodesk has adjusted its fiscal year 2026 revenue estimate to $7,161 million, indicating an anticipated growth rate of approximately 16.8% year-over-year, supported by the implementation of a new direct billing model.

The financial outlook for Autodesk appears negative due to several fundamental issues, including a modest decline in billings for architecture firms and expectations of decreased tailwinds from their transaction model by FY27. There are notable risks stemming from a deterioration in global macroeconomic conditions, increased competition, and uncertainties surrounding leadership transitions, all of which may inhibit growth in sales and margins. Additionally, persistent high office vacancy rates in the U.S. and challenges related to the company's strategic shifts could further squeeze its commercial design activity and overall market performance.