Needham Reiterates Buy on Backblaze, Trims Price Target to $8 After Q3 Print

On November 6, 2025, Needham maintained its Buy standing connected Backblaze and chopped its 12-month terms people to $8. However, we could not find immoderate commentary accompnying the price-target update.

The aforesaid day, Backblaze reported Q3 2025 results. The company's Q3 worked due to the fact that premix and standard yet lined up. B2 Cloud Storage jumped 28% to $20.7M portion Computer Backup stayed flat, truthful maturation came from the higher-velocity product. That shift, positive pricing and utilization, lifted gross borderline to 62% from 55% and pushed adjusted EBITDA borderline adjacent 23%, with the nett nonaccomplishment shrinking sharply. ARR roseate 13% to $147.2M, led by B2 astatine $81.8M. The 1 caution sign: enlargement slowed, with NRR easing to 106% from 118%, truthful upsell is little forceful than past year. Guidance keeps the stake connected B2 momentum into Q4.

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Backblaze, Inc. (NASDAQ:BLZE) is an autarkic unreality retention level champion known for B2 entity retention and Computer Backup. The institution says it serves implicit 500,000 customers successful 175 countries and emphasizes S3-compatible, price-predictable retention for AI and data-heavy workloads.

While we admit the imaginable of BLZE arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None.