Bentley Systems downgraded to Sell from Neutral at Goldman Sachs

Goldman Sachs analyst Kash Rangan downgraded Bentley Systems (BSY) to Sell from Neutral with a price target of $42, down from $51, following the company’s Q4 results and guidance. The firm continues to view Bentley as a “high-quality and well-run business with compelling vertical software characteristics.” The downgrade reflects the company’s slowing annual recurring revenue and free cash flow growth outlook in fiscal 2025 as Goldman sees limited upside potential “against an already premium valuation.” This is likely to drive modest downside in the stock over the near- to -medium term, the analyst tells investors in a research note.