Asana Stock Drops 19% After Weak FY26 Guidance Despite Q1 Beat

Asana shares fell on Wednesday after issuing weak full-year fiscal 2026 guidance that overshadowed its better-than-expected first-quarter results. The company beat first-quarter earnings and revenue estimates, achieved its first-ever positive operating margin at 4.3%, and signed a record $100 million customer deal. Investor focus shifted to Asana’s weak full-year guidance, with projected adjusted earnings of twenty-two cents per share and revenue midpoint of $782.5 million, both below expectations. The company cited macroeconomic risks and a deal renewal that extended the contract term but reduced annual value. Asana's weak guidance drew analyst concern, with RBC maintaining an Underperform rating and JMP noting falling billings and a 10% sequential revenue decline. Analysts remain cautious on Asana despite margin gains and AI progress, with Piper Sandler raising its target while JMP and KeyBanc flagged slowing growth and macro risks.