5 Stocks That Analysts Are Bearish On

2. AppFolio Inc (NASDAQ:APPF)

The APPF stock continues to decline amid management’s lower 2025 growth expectations. According to analyst Jason Celino, this year will be a transitional period as the company exhibits disappointing performance metrics and struggles with leadership restructuring. Considering this, KeyCorp lowered shares of AppFolio to a sector weight from an overweight rating.

Despite AppFolio’s strong financial performance during the last twelve months, many other research analysts also view APPF as a weak stock, reducing the target price by a solid $62, from $193 to $255. The cloud-based platform bid farewell to its CFO, Fay Sien Goon, with rising transitional setbacks influencing the company’s financial strategy and market performance.

But at the same time, the company’s efforts to integrate AI to streamline the work process and collaborate with industry giants like Amazon ensure that the management is undertaking developments to combat the challenges. While collaboration with DocuSign made contract management easy through electronic signatures, the partnership with AvidXchange has enhanced the efficiency of invoice and payment systems. This means that with the stability of the management, the company can fully utilize its contracts.